A new currency is rising on the global stage. For the first time, the Chinese yuan overtook the U.S. dollar for international trade in March.
Based on data from the State Administration of Foreign Exchange, cross-border payments and receipts in yuan rose to a record $550 billion in March from $434 billion a month earlier.
Other calculations show the yuan was used in over 48 percent of all cross-border transactions. That’s up from nearly zero in the year 2010.
On the other hand, the U.S. dollar clocked in at close to 47 percent, dropping from 83 percent in 2010.
The currency’s boost reflects long-time efforts by Beijing to internationalize the currency.
The numbers come from mainland China and Hong Kong’s capital markets. They don’t represent transactions used by the rest of the world. Its use in global trade remains low, though it has shown steady increases.