Yuan

Economists see a politicized central bank damaging investor confidence in the U.S. system while Beijing advances in globalizing its currency.

China plans to start paying interest on holdings of its central bank digital currency (CBDC) from 2026. While this e-yuan experiment will yield lessons for us, its success could also give Chinese money a headstart in this age of technology enablers.

China’s eye-popping trade surplus shows how resilient its exports have proven in the face of US tariffs, but its economy suffers from weak consumption despite a demand stimulus. Letting the yuan rise would boost imports, help its people lead better lives and reassure trade partners.

The dollar’s dominance is far from done, even as the yuan chips away at it. Regardless of Trump’s confidence-sapping policies, BIS data shows global finance still pivots around the greenback. So, what does this mean for challengers?

The US dollar still dominates global trade invoicing, but cracks are appearing. China’s renminbi is slowly gaining space, driven by geopolitics and trade realignments. Could this gradual shift reshape the global currency order or is the greenback’s dominance here to stay?

As China attempts to globalize its legal tender, America guards the supremacy of its own and digital currencies gain traction, India should revive Keynes’ idea of a global trade currency. We must also differentiate the e-rupee from the e-yuan.

Officials believe that the yuan has finally come of age

As the People’s Bank of China seeks a bigger role for the yuan on the global stage, ignoring stablecoins could put the Chinese currency at a disadvantage.