THE "CHINESE YUAN" IS ALREADY THE "NEW WORLD RESERVE FIAT CURRENCY"!

One more domino in the dollar reserve supremacy regime falls.. Following the announcement two weeks ago that "Australia And China will Enable Direct Currency Convertibility", which in turn was the culmination of two years of Yuan internationalization efforts as summarized by the following agreements with - Hong Kong, South Korea, Malaysia, Belarus, Indonesia, Argentina, Mongolia, Iceland, Singapore, New Zealand, Uzbekistan, Kazakhstan, Thailand, Pakistan, United Arab Emirates, Turkey, Ukraine, Japan, Russia, Iran, India and Brazil - China has now launched yet another feeler to see what the apetite toward its currency is, this time in the heart of the Eurozone: Paris.. According to China Daily, "France intends to set up a currency swap line with China to make Paris a major offshore yuan trading hub in Europe, competing against London." As a reminder the BOE and the PBOC announced a currency swap line back in February 2013, in effect linking up the CNY to the GBP. Now it is the EUR's turn.. "The Bank of France has been working on ways to develop a RMB liquidity safety net in the euro area with due consideration of a supporting currency swap agreement with the People's Bank of China," Noyer told the English-language newspaper.. The yuan's internationalization and bilateral financial cooperation could be among the main topics during French President Francois Hollande's visit to China in late April, the paper said.. French Foreign Minister Laurent Fabius paid a two-day visit to Beijing this week. The planned swap line would be the latest in a string of bilateral currency agreements that China has signed in the past three years to promote use of the yuan in trade and investment.. It followed a similar step by the Bank of England to set up a reciprocal three-year yuan-sterling swap line with China and it appears that France may be a far more strategic European hub for China than London: In 2011 and 2012, the total value of offshore yuan-denominated bonds issued by French corporates was nearly 7 billion yuan, twice the value of bonds issued by their British counterparts, according to a report by Paris Europlace, an association that supports the French financial industry and promotes Paris as an international financial center.. A survey by the association, the China Daily reported, also showed that 50 percent of French companies have used yuan-denominated products and services.. So the question then is not how long, the US Dollar will remain the world's reserve currency, but when the "developed world" will be forced to admit the PBOC's monetarist primacy over the Fed...

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