Yuan’s share in SME remittances grows
In addition to the Chinese national currency, small and medium-sized businesses prefer to make transactions in Kazakh tenge, UAE dirhams and Indian rupees. The share of accounts opened in alternative currencies increased from 16% to 49%. The volume of transfers in rupees grew twofold, in tenge - by 1.5 times.
Besides, the geography of transfers in yuan is also broadening. In July, small businesses made remittances in Chinese currency to the CIS countries, China, India, Indonesia, Thailand and others.
Bank ZENIT experts note that the restrictions of foreign banks in relation to the use of US dollars and euros promote the Chinese currency among entrepreneurs. Settlements in yuan will only grow: this process will be stimulated by the increase in parallel imports and the reorientation of Russian exports from West to East. According to experts, the parity of the Chinese currency will, most likely, persist in the coming years.The study is based on the analysis of the foreign currency accounts of the SME segment. Data for 7 months of 2022 was analyzed.