Yuan surpasses the yen in popularity in SWIFT

By Alimat Aliyeva

The yuan has become the fourth most popular currency in global payments, according to France Media, citing data from the SWIFT international payment system, Azernews reports.

The Chinese currency has surpassed the Japanese yen, with its share in global payments rising from 2.93% to 3.89%. In contrast, the yen's share has decreased from 3.91% to 3.44%.

The US dollar remains the most widely used currency in international settlements, with its share increasing from 47.04% to 47.68%. The euro, however, saw a decline in its global popularity, falling to 22.29%, while the pound sterling also became less popular, dropping to 7.27%.

This shift in the global currency landscape highlights the growing influence of the yuan in international trade and finance, a trend fueled by China's expanding role in the global economy. The increase in the yuan's share reflects China's efforts to internationalize its currency, with more countries opting to settle transactions in yuan, particularly in trade agreements with China. This trend may have long-term implications for global currency markets, challenging the dominance of the US dollar and prompting calls for a more diversified global financial system.