Part 8/11:
The Long Game and Geopolitical Implications
While the US dollar remains the dominant international reserve currency, these developments suggest a gradual shift. China’s measured approach—using diplomacy, market interventions, and policy guidance—reflects its long-term ambitions of fostering a more yuan-centric financial framework.
For the global south and developing economies, this represents a real opportunity to diversify currency risks and reduce reliance on the dollar. Many banks outside the US are already diversifying operations, integrating yuan-denominated systems, and embracing the shift.