FT: China ramps up global use of yuan to reduce U.S. dollar dependence

China’s overseas lending in renminbi has surged to Rmb4.8tn ($480bn) over the past five years as Beijing intensifies its de-dollarization campaign and seeks to expand the yuan’s role in global finance.

Source Financial Times

According to China’s State Administration of Foreign Exchange, the share of renminbi-denominated assets held overseas has quadrupled, reaching $360bn in loans and deposits. Beijing has also boosted the use of its CIPS payment system, an alternative to SWIFT, to facilitate cross-border settlements.

Data from Swift shows the renminbi’s share of global trade finance has quadrupled from 2% in 2020 to 7.6% in 2025, making it the second most-used currency after the U.S. dollar. Analysts say this strategy is not about replacing the dollar but building a multi-polar monetary system resilient to U.S. sanctions and geopolitical risks.

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