More than a Quarter of Nations Now Use Chinese Currency to Pay China, Hong Kong

May 29, 2013 - 8:31 AM

Forty-seven countries are now using the Yuan for at least 10 percent of their payments with China and Hong Kong, according to the Society for Worldwide Interbank Financial Telecommunication (SWIFT).

In a press release dated May 22, 2013, SWIFT reports that, of the 160 countries that exchanged payments with China and Hong Kong in the month of April, 47 had at least 10 percent of their transactions valued in Yuan (RMB).

SWIFT notes that there has been a nine percent increase in the number of countries using the Yuan for payments when transacting with China and Hong Kong.

Between the months of July 2012 and April 2013, 16 more countries used the Yuan for more than 10 percent of payments with the two Asian nations, with Italy and Russia "amongst some of the strongest adopters."

Lisa O'Connor, RMB Director at SWIFT says:

"The big increase in countries with substantial RMB volumes is a good indicator that the currency has become more internationalised."

As "Right Views" previously reported, the Yuan recently passed the Russian Rouble to take the thirteenth slot for world currency payments.

Global Yuan payments gained 32.7 percent in value for the month of March 2013, and 171 percent between January 2012 and January 2013.

As the latest SWIFT press release notes, the Yuan remains stable in its position as the #13 payment currency of the world.

The SWIFT "RMB Tracker" (RMB is short for Renminbi or Yuan) was launched in September 2011 and provides monthly reporting on the progress made by the Yuan towards becoming an international currency.

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