CHINA will “steadily and prudently” promote yuan internationalization in 2021 and further develop offshore yuan markets, according to the central bank.

Cross-border settlements in the yuan reached 28.39 trillion yuan (US$4.39 trillion)in 2020, up 44.3 percent from the previous year, the People’s Bank of China, the central bank, said in its 2021 yuan internationalization report.

Cross-border yuan settlements accounted for 46.2 percent of the overall cross-border settlements, hitting a record high, the central bank said.

Cross-border settlements in foreign trade reached 4.78 trillion yuan last year, up 12.7 percent from 2019, the central bank said.

The central bank will strengthen the monitoring of cross-border capital flows and prevent systemic risks, it added.

China has been trying to boost the yuan’s global use since 2009 to reduce the reliance on the U.S. dollar in trade and investment settlements.

The signing of the Regional Comprehensive Economic Partnership agreement will further boost trade in the Asia-Pacific region, thereby offering more opportunities for using the yuan in trade and investment activities, said the report.

(SD-Agencies)