While China has made great strides in internationalizing its currency, the goal of dethroning the US dollar is still far off. To undermine the dollar’s dominance in cross-border trade, China must loosen capital controls and make the renminbi more attractive to international investors.
Mentioned Faculty
Dr. Shang-Jin Wei is N.T. Wang Professor of Chinese Business and Economy and Professor of Finance and Economics at Columbia University’s Graduate School of Business and School of International and Public Affairs.