China is almost ready to replace the US dollar

China is almost ready to replace the US dollar

The Chinese know the future belongs to them, and they are beginning to flaunt it.

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As China’s economy becomes increasingly integrated with the rest of the world, it is a natural trend for its currency, the renminbi (RMB), to be more widely used in trade and investment.

by Filip Karinja

As the US dollar’s reign as global reserve currency appears to be ending, are we seeing the beginning of a new dawn in the east?

Throughout history, global reserve currencies have proven to last for only so long. Before the United States’ currency reigned supreme, the currencies of Great Britain, France, the Netherlands, Spain and Portugal all had their day.

We don’t know exactly when the dollar’s run as reserve currency will end, but everywhere you look, there are seismic shifts away from the greenback.

For one, the number of bilateral trade agreements signed between countries is rising at an alarming rate.

And then there are the Chinese. Even just a few years ago, the Chinese yuan was not even one of the ten most traded currencies; now, as of last year, it’s number five on the list recorded by SWIFT, an international financial transaction agency. In fact, international payments settled in yuan jumped a MASSIVE 104% in 2014!

But the Chinese aren’t ones to be satisfied easily; they know what’s at stake on the global stage and are moving hastily to seize the opportunity. So later this year, China is expected to launch what will be known as the China International Payment System (CIPS), an international system that will further the yuan’s internationalization and its status as a dominant currency on the global level for cross-border transactions.

Add to this several other significant developments:

First, the Chinese are now seeking to have the yuan added to the IMF’s special drawing rights (SDRs) pool of reserve currencies. At present, that pool consists only of the U.S. dollar, the euro, the Japanese yen and the British pound.

Second, China is heading up the new alternative to the World Bank and IMF, known as the New Development Bank, which is part of the BRICS system and is run out of Shanghai.

Finally, on top of all of this, China has created the Asian Infrastructure Investment Bank (AIIB), which competes with the predominantly U.S.-controlled financial institutions and focuses on the Asia-Pacific region. As of this week, the UK and Australia have joined the AIIB, much to the disapproval of the U.S. government. France, Germany and Italy are set to follow.

All roads are leading away from the U.S. and over to China.

Speaking of roads, Simon Black of Sovereign Man recently spotted this billboard in Bangkok, Thailand:

Chinese-Yuan-world-reserve-currency

This is an advertisement from the Bank of China, of which the government holds a stake of over 70%. The Chinese are openly telling us that the RMB (yuan) is “the world currency”!

The Chinese know the future belongs to them, and they are beginning to flaunt it.


See: China pivots everywhere

Also see: RT Crosstalk 17 Dec – USA vs China

2 COMMENTS

  1. Look East for the new Bin Laden, fear has to be mobilized before the ignorant patriotic canon fodder can be expended in war…

    China has not engaged the rest of the world in military confrontation, colonialist adventurism and wars while establishing itself on the world stage. Perhaps they have learned something from Western history (or the failures of), or the teachings of Confucius.

    I suspect the latter.They are on a roll, and it looks like they will get there and probably stay there, for some time to come.

    They are almost there. I can see the light of the Red Rooster entering the other end of the tunnel now. Stand aside if you do not want to be run down by her as she flashes on through. Ignore her at your own peril. It is the future.

  2. Dear MCS/Debbie:
    You are right, but the bigger picture and layers of the onion analysis plus the Hegelian dialectic show the real synthesis (solution) endpoint. The other articles of Jack Lew, US Treasury Secretary and the BRICS plus Germany, show the rise in POWER of the Eurasian landmass (land power) vs. British/American hegemony (sea power). America can not defeat this unless it foments destabilization in the Middle East, south central Asia (Russia’s underbelly) and southeast Asia (China’s backyard). Oh, wait, that describes all the trouble spots in the Eurasian landmass where America has its hand in the cookie jar. Ultimately, since all modern principles of thought and all its ISMs (Commun ism, Fasc ism etc.) came from Europe, secretly everything is returning there. Thus the New Silk Road of Berlin-Moscow-Beijing will do so as well. A German-Russian axis has been prevented since before WW1 to this day. However, a German-Russian-Chinese axis is unstoppable. America can NOT defeat, though the rest of the world wants to join, that Eurasian landmass axis power. You can NOT beat German technology, backed by Russian resources and now Chinese money. The writing is on the wall, but America does NOT want to see it and is doing everything in its power to prevent it. But as usual, it will happen despite/inspite of America. This also helps explain why America is going down: TPTB want America down for power to shift EAST. And you can bet that the Rothschild’s , their agents and puppets will still control all this from Europe, mainly Germany. That is where all this Rothschild and factions action began and will end. Thanks, Norbert.

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