The Chinese yuan succeeded to replace the US dollar and became the most traded currency in Russia with the help of sanctions against Moscow. to this conclusion to come Bloomberg agency after analyzing the daily trading reports of the Moscow Stock Exchange.
According to the newspaper, while the Chinese currency surpassed the US in February for the first time in terms of monthly transaction volume, the difference became more pronounced in March. At the same time, the yuan trade volume in the Russian market until February 24, 2022 was insignificant.
Due to Western sanctions, Russian companies began to transfer foreign trade transactions from the dollar and euro to the currencies of countries that refused to participate in any restrictions. In 2023, the Russian Ministry of Finance converted its market operations to yuan instead of dollars. At the end of last year, the National Welfare Fund (NWF) allowed keeping 60% of its assets in RMB.
“The Central Bank of Russia regularly advises companies and individuals to convert their assets into rubles or “friendly” currencies to avoid the risk of being blocked or frozen,” the agency said.
In the early hours of April 4, South China Morning Post WroteThat China uses its trade advantages to promote the currency in bilateral deals to challenge the dominance of the dollar in the international monetary system.