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SWIFT has just published some key findings from its monthly RMB Tracker for May 2015.
Overall, the Chinese currency strengthened its position as the fifth most used currency for global payments in value, as it accounted for 2.18% of payments worldwide in May 2015. This compares to a share of 2.07% of world payments recorded in April 2015.
Moreover, whereas all currencies decreased in value by 3.1%, RMB payments increased in value by 1.99% compared to April 2015.
According to SWIFT, the growth in RMB payments is propelled to a great extent by the increasing number of banks using the Chinese yuan for their global payments. In May 2015, 1,081 financial institutions used the RMB for payments with China and Hong Kong, representing 35% of all institutions exchanging payments with the latter across all currencies.
In May 2015, RMB adoption for payments by financial institutions in Asia Pacific increased to 37% from 33% in May 2013. During the same time period, the Americas saw even stronger growth, as financial institutions in the region increased their use of the RMB for payments by 10%, leading to 37% adoption. Europe follows closely with 33% adoption and Africa – Middle East with 28%.
Michael Moon, Head of Payments, Asia Pacific, SWIFT, commented:
“Every month we witness new proof of global RMB adoption. The number of banks that use RMB for payments with China and Hong Kong is a key internationalization indicator. This large number also shows that many banks, across the globe, may have an interest in connectivity to the China International Payment System that China will launch by end of the year”.
To view the official press release by SWIFT, click here.