SWIFT: China's RMB is Third Biggest Currency in Trade Finance

China's renminbi now has a four percent market share in the global issuance of letters of credit by value, making it the third biggest currency in trade finance following the US dollar (84.4%) and the euro (7.0%), and before the yen (1.9%). 


According to the SWIFT RMB Tracker, the biggest corridors where the renminbi is used in the issuance of letters of credit is in Asia Pacific, with well over 50% of all letters of credit in transaction value being sent by banks in China to Hong Kong and nearly 20% going from China to Singapore.


There’s not much movement on the payments front though. The RMB remained world payments currency No. 16 in April 2012, with a market share of 0.34%