From Wall Street Journal:



Chinese assets have struggled, but the yuan is gaining ground as an international payments option. Capital controls in China remain a major obstacle to the yuan becoming a truly global currency, but there is a rising willingness to conduct trade in yuan which could help bolster China’s economy and offer support for the currency.

Even with the potential for weaker Chinese growth in the future, the increased use of the yuan for trade could provide some insulation for the country’s economy, particularly in the event of potential sanctions in a hypothetical conflict with the West. As a result, the yuan’s status as an international payments option could become a source of structural support for the currency, helping to strengthen its position on the global stage.



Read more: China’s Yuan Is Quietly Gaining Ground