Beijing reaffirms the urgent need to replace the dollar with a global currency
In March, the Governor of Central Bank of China, Zhou Xiaochuan, had already expressed the idea of replacing the dollar with SDR (Special drawing right), a measure introduced 40 years ago by the International Monetary Fund (see Goodbye dollar? G20 summit to discuss a single world currency). The SDR is based on a unit account of currencies including the U.S. dollar, the Euro, Japanese Yen and British Pound. China seems to want to broaden the account to include the Yuan.
According to the report, the world should not only adopt the SDR, but entrust the IMF with the administration of a portion of foreign currency reserves of its members. In a veiled criticism of the United States, the report states that it is difficult to balance national needs with international requirements.