Yuan meets all criteria to be a cross-border trade currency

In his report to the 20th National Congress of the Communist Party of China last year, CPC Central Committee General Secretary Xi Jinping said China will promote the internationalization of the yuan in an orderly way, especially by increasingly using it to settle cross-border trade payments.

Cross-border trade settlement in the yuan has been increasing at a rapid pace since 2015 thanks to the emergence of new trade models and acceleration of the yuan's internationalization process.

China has signed agreements with a number of countries for settling trade payments in the yuan. For example, China and Brazil agreed in March to use their own currencies, instead of the US dollar, for trade settlement, with the People's Bank of China, the country's central bank, signing a memorandum of cooperation with the Central Bank of Brazil to this effect.