American Greenback Losing Its Dominance in Int'l Arena: IMF
TEHRAN (Tasnim) – The US dollar’s share of global central bank reserves has continued to shrink, nosediving to 59.2% in the third quarter of 2023, according to the latest data of the International Monetary Fund (IMF).
The decline comes amid the de-dollarization process gaining momentum across the international arena.
IMF statistics show the greenback’s share is down from roughly 70% in 2000. The dollar remains the world’s leading reserve currency with the euro coming second, while the latter’s share has slid to 19.6%.
The Japanese yen’s proportion of world reserves grew to 5.5% from 5.3% in the previous three-month period. The Chinese yuan, British pound, Canadian dollar and Swiss franc were little changed, RT reported.
Meanwhile, according to the data compiled by global financial messaging service SWIFT, the yuan’s share of international payments hit a record high in November, with the renminbi becoming the fourth most used currency worldwide. Cross-border yuan lending has risen as well, while the People’s Bank of China holds over 30 bilateral currency swaps with foreign central banks, including Saudi Arabia and Argentina.
The increasing share of the yuan in cross-border transactions reflects China’s trend of shifting away from the dollar, as well as Beijing’s efforts to promote the use of the renminbi, according to SWIFT, the report added.
