Ep 30 - China preps for demise of US dollar dominance
Description
At the Lujiazui Financial forum in June, central bank (PBoC) Governor Pan Gongsheng gave a speech that we believe redefined Beijing's attitude toward RMB internationalization.
Since the policy was launched in 2009, RMB internationalization has been a struggle, with Beijing's commitment to maintaining capital controls making it difficult to claw market share from the dollar.
But Pan's comments suggest Beijing thinks things might be about to get easier – with global faith in the dollar starting to erode, countries and companies might soon start looking for viable alternatives.
- That could create an opportunity for the RMB – as long as China is ready to grab it.
In this week's podcast, Trivium Co-founder Andrew Polk and Dinny McMahon, Head of Markets Research, discuss the implications of Pan's comments, and the flurry of recent measures in support of RMB internationalization.
United States
