The renminbi has seen wider acceptance in international usage as the country’s resilient economic growth bolstered global demand and opening-up measures facilitated foreign investment in the country.
By the end of 2020, the RMB Internationalization Index (RII) reached 5.02, a sharp increase of 54.2 percent from a year earlier, data compiled by the International Monetary Institute of Renmin University of China showed.
The jump in the RII index was highly related to the augmentation of the RMB as a means of denomination and settlement in international trade, and a remarkable step-up in the performance of the RMB in terms of financial transactions.
The trend has continued into 2021. The Standard Chartered Renminbi Globalization Index rose to a new high of 2,698 in August.
Trade boosts RMB settlement