Goldman Sachs: The level of RMB internationalization is rising, with ample potential for future growth

```htmlGolden Ten Data reported on May 26 that a recent research report by Goldman Sachs indicates the internationalization and application level of the renminbi has improved, with ample growth potential for the future. According to the report, over the past two years, the proportion of renminbi in the global payment system has remained between 3% and 4%; by 2025, the renminbi is expected to account for about 2% of global official foreign exchange reserves. The report suggests that in the next phase, renminbi internationalization will likely be led by offshore markets, with Hong Kong as the core hub. The process will not prioritize a full opening of the capital account but will advance steadily by leveraging the gradual opening of the onshore market and deep expansion of offshore markets. Supported by renminbi appreciation, policy incentives, and mechanisms such as central bank currency swaps and offshore clearing banks, the cost of offshore renminbi funds continues to decline and liquidity is steadily increasing. Additionally, sustained renminbi appreciation helps to gradually narrow the price spread between onshore and offshore funds.```