Higher RMB utilization expected in Africa
With China’s financial cooperation with African countries going from strength to strength, there has been a rapid rise in the amount of transactions denominated in the Chinese currency, the yuan. The trend is expected to pickup momentum following the yuan’s recent inclusion in the elite global reserve currency club. China has long hoped to see a rapid use of the yuan in Africa, commensurate to the importance it attaches to its economic and political cooperation with the continent. Economic trends in Eastern and Southern Africa show this wish is materializing, evidenced by the growing demand and acceptance of the Chinese currency.