tionalization high on China’s strategic agenda. The push comes as China seeks to reduce its reliance on the US dollar amid rising geopolitical tensions and increased scrutiny of dollar based financial systems. Over the past decade, Beijing has taken gradual steps toward this goal including promoting yuan-denominated trade settlements, expanding currency swap agreements with other countries and securing the yuan’s inclusion in the International Monetary Fund’s Special Drawing Rights basket. Despite these efforts, the yuan still accounts for a relatively small share of global foreign-exchange reserves, far behind the US dollar and the euro. Analysts note that significant structural challenges remain, including capital controls, limited currency convertibility and concerns over market transparency and regulatory independence. Economists view Xi’s comments as a strategic signal rather than an announcement of immediate policy changes. “This is about long term positioning,” said one market analyst. China wants to shape a more multipolar financial system but reserve-currency status requires deep, open and trusted financial markets. Global use of the yuan has increased modestly in recent years, particularly in energy trade and transactions with countries participating in China’s belt and road initiative. However, experts caution that broader adoption will depend on Beijing’s willingness to undertake financial reforms that may conflict with its preference for tight state control. Xi’s renewed call underscores China’s ambition to reshape global finance, even as the path toward true reserve-currency status for the yuan remains gradual and uncertain. Source: Al Jazeera