China is preparing to disconnect from the dollar payment system
The Chinese government should prepare for a possible disconnection from the dollar payment system if Washington imposes sanctions, said Vice Chairman of the Securities Control Committee of China, Fan Xinghai.
We are talking about China's dollar settlements using the Interbank Information Transfer and Payment System SWIFT and the Interbank Electronic Clearing Settlement System CHIPS, TASS reports.
Fan Xinghai noted that the possibility that the US currency will be depreciated is not ruled out. This could adversely affect the Chinese economy, since China has $ 2 trillion in non-financial investments abroad.
“The internationalization of the renminbi is something that should compensate for external financial pressure”, - said Fan Xinghai.
He specified that if the country's foreign assets were in RMB, then there would be no threat to China if the dollar devalued.
Recall that earlier US President Donald Trump did not rule out the possibility of a “complete separation” of the economies of the two countries. The former adviser to the head of state, John Bolton, said that the head of the US Treasury, Stephen Mnuchin, is the main opponent of economic sanctions against other countries.