The Internationalization of the RMB: China’s Strategy for Global Influence

China has been working to encourage the use of the Renminbi (RMB) by implementing important policy shifts and regulatory modifications in the last years. As it was described in a white paper written by the Bank of China, the Chinese authorities are simplifying the process for companies and nations to incorporate the RMB in their trade and investment activities with China. These adjustments involve establishing currency swap agreements with countries expanding payment systems, across borders and offering financial benefits to foreign organizations that opt to transact in RMB. The long-run objective is to establish the RMB as a worldwide currency on par with the US dollar or Euro, deepening China's influence into the global financial system.

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