Chinese yuan ranks 4th popular in cross-border payments, share rises

A man walks pass by currency signs in Beijing, China. (Photo: CFP)

The Chinese yuan retained its position as the fourth most active currency for global payments by value in January, data from the Society for Worldwide Interbank Financial Telecommunication (SWIFT), a global system for financial messaging and cross-border payments, showed.

The currency took a share of 3.2 percent, ranking behind the U.S. dollar, the euro and the pound.

In December 2021, the yuan climbed one position to become the fourth most active currency for global payments by value, with a share of 2.7 percent.

In terms of international payments excluding payments within the eurozone, the yuan ranked fifth with a share of 2.29 percent in January 2022.

The value of yuan payments increased by 10.85 percent compared to December 2021, while, in general, all payment currencies decreased by 6.48 percent.

China has issued a plan to bolster its cross-border yuan payments system. The plan, to be implemented during the 2021-2025 period, was published earlier this month.