Open AccessRenminbi and Rouble in the Central Asia Economies
Author(s) -
A. Polivach
Publication year - 2020
Publication title -
rossiâ i novye gosudarstva evrazii
Language(s) - English
Resource type - Journals
ISSN - 2073-4786
DOI - 10.20542/2073-4786-2020-4-87-102
Subject(s) - renminbi , currency , liberian dollar , us dollar , china , economics , international economics , central asia , capital (architecture) , monetary economics , international trade , exchange rate , geography , finance , archaeology
This article reviews usage of Russian and Chinese currencies in the economies of the five Central Asia countries (CA5) – for trade payments, intergovernmental and commercial loans and also in the official foreign exchange reserves. Information on these matters, unfortunately, is non-regular and very fragmented. However, based on the analysis of available data the author makes the following conclusions. Both the Renminbi and the Rouble are used in the CA5 economies in small scale, while the US Dollar absolutely dominates. Currently the Rouble is more popular than the Renminbi. It is especially visible in those countries, which are the members of the Eurasian Economic Union. Most likely relationship between the US Dollar, the Rouble and the Renminbi in the CA5 economies will not significantly change in the near future. However the usage of the Renminbi may substantially increase, if China removes all restrictions for trans-border capital movements. Also the usage of the Rouble may significantly increase, if Russia takes actions transforming its currency into a regional reserve currency.