Liu Says Beijing May Benefit From a Secondary Yuan Role as Dollar Leads

China may gain from a yuan that can support trade and finance during a crisis without displacing the U.S. dollar, Zongyuan Zoe Liu argued in an Oct. 20 essay. Liu, the Maurice R. Greenberg Fellow for China Studies at the Council on Foreign Relations, described the potential role as “never the market leader, but serviceable in a pinch.” She argues that a secondary position could help China withstand possible U.S. financial sanctions without bearing the costs of maintaining the world’s dominant reserve currency. Her essay presents a possible strategic benefit, not an announced Chinese government target.

Source: TokenPost