Core Viewpoint - The diversification of payment systems and currencies is an irreversible trend in the context of increasing globalization and diversification of global trade, with a focus on enhancing trade volume and settlement in Renminbi among China and developing countries [2][3][4]. Group 1: Payment System Diversification - Following the exclusion of Russia from the SWIFT system, many countries have recognized the risks of over-reliance on the dollar and are seeking alternative payment systems [2][3]. - China has actively promoted the internationalization of the Renminbi since the launch of cross-border trade Renminbi settlement pilot in 2009, with significant milestones including the inclusion of Renminbi in the IMF's Special Drawing Rights (SDR) basket in 2015 [2][3]. - As of November 2025, China has signed bilateral currency swap agreements with 32 countries and regions, with a total scale exceeding 4.5 trillion Renminbi [2]. Group 2: Technological Advancements - The introduction of the digital Renminbi and the establishment of the Cross-Border Interbank Payment System (CIPS) in 2015 have provided technological support for the transformation of settlement systems [3]. - By 2024, CIPS is expected to account for 3.8% of global payments, with projections to exceed 10% by 2027 [3]. - CIPS has already covered 189 countries and regions, processing business amounts reaching 90.19 trillion Renminbi [3]. Group 3: International Cooperation and Trade - China and Russia have nearly completely transitioned to using their own currencies for trade settlements, reducing dependence on the dollar [3]. - In BRICS countries, 30% of trade transactions are now conducted using Renminbi, while Saudi Arabia's Renminbi settlement for oil exports is projected to reach 45% by September 2025 [3][4]. - Argentina has announced plans to use Renminbi for imports from China, and BHP has agreed to settle 30% of iron ore transactions in Renminbi by October 2025 [4]. Group 4: Strategic Recommendations - Increasing trade volume among countries is essential for enhancing the credibility of payment systems, as the establishment of any payment system relies on substantial trade volume [5]. - Emphasizing the use of Renminbi in international settlements is a rational arrangement aimed at reducing financial risks, rather than a direct move towards "de-dollarization" [5]. - Ensuring adherence to international law and transparency in the settlement process is crucial for building trust in the Renminbi and non-dollar payment systems [5][6]. Group 5: Global Trends - Other countries are also taking steps to mitigate dollar risks, such as the BRICS New Development Bank's introduction of a "local currency financing toolbox" and Russia's development of an alternative to SWIFT [6]. - The trend towards diversification in payment systems and currencies is seen as an irreversible development in global trade [6]. - Establishing an equitable trade and payment system is essential to address the root causes of international conflicts [6].

Core Viewpoint - The diversification of payment systems and currencies has become an irreversible trend in the context of increasing globalization and diversification of global trade, with a focus on enhancing trade volume and settlement in Renminbi among China and developing countries [2][6]. Group 1: International Trade and Currency Settlement - Following the exclusion of Russia from the SWIFT system, many countries have recognized the risks of over-reliance on the dollar and are seeking alternative payment systems, with China actively promoting the internationalization of the Renminbi [2]. - Since the launch of the cross-border trade Renminbi settlement pilot in 2009, the internationalization of the Renminbi has progressed significantly, with China signing bilateral currency swap agreements with 32 countries and regions, totaling over 4.5 trillion Renminbi by November 2025 [2][3]. - The Renminbi has become the third-largest payment currency globally, according to the People's Bank of China [4]. Group 2: Technological Advancements and Payment Systems - The introduction of the digital Renminbi and the establishment of the Cross-Border Interbank Payment System (CIPS) in 2015 have provided technological support for the transformation of settlement systems, with CIPS expected to account for over 10% of global payments by 2027 [3]. - As of mid-2025, CIPS has covered 189 countries and regions, processing transactions amounting to 90.19 trillion Renminbi [3]. Group 3: Bilateral Agreements and Trade Settlements - China and Russia have nearly completely transitioned to using their own currencies for trade settlements, reducing dependence on the dollar and mitigating risks from sanctions and currency fluctuations [3]. - In the BRICS nations, 30% of trade transactions are now conducted using the Renminbi, while Saudi Arabia's Renminbi settlement for oil exports is projected to reach 45% by September 2025 [3]. - Argentina has announced plans to use the Renminbi for imports from China, and BHP has agreed to settle 30% of iron ore transactions in Renminbi by October 2025 [4]. Group 4: Global Trends and Future Directions - The trend towards a non-dollar settlement system is seen as a collaborative effort among countries, with a focus on mutual benefits rather than a direct "de-dollarization" approach [6]. - Other countries, including members of BRICS, are also taking steps to mitigate dollar risks, such as the establishment of local currency financing tools and alternative payment systems [9]. - Increasing trade volume is essential for the establishment of a credible payment system, as the legitimacy of any payment system is built on substantial trade activity [10].