This week on Sinica, Kaiser and Jeremy welcome Diana Choyleva and Dinny McMahon, who recently published a report for the Wilson Center on China's efforts to internationalize the Renminbi, its currency. Diana Choyleva is chief economist and founder of Enodo Economics, an independent macroeconomic forecasting consultancy she set up in 2016. Dinny McMahon is a former Wall Street Journal reporter and author of the book China's Great Wall of Debt. Their report is called “China’s Quest for Financial Self-Reliance: How Beijing Plans to Decouple from the Dollar-Based Global Trading and Financial System.”

2:38 – The advantages the U.S. enjoys through the dollar’s global primacy

4:40 – How Beijing sees the dollar’s dominance as a strategic vulnerability

7:11 – Other countries who actively pursued internationalization of their currency

10:07 – International trust deficit regarding China’s currency

13:37 – Right-sizing China’s currency ambitions

15:13 – How China incentives increased demand for the RMB

24:19 – Are we currently at a critical turning point of currency displacement?

36:42 – The role of digital currency in China’s monetary strategy  

43:42 – The BRI as a mechanism for expanding the circulation of the RMB 

A transcript of this podcast is available at TheChinaProject.com.

Recommendations:

Jeremy: This is Going to Hurt: Secret Diaries of a Junior Doctor by Adam Kay; Kay's Anatomy by Adam Kay 

Diana: Picking up dancing as a pastime; China: The Gathering Threat by Constantine Menges

Dinny: Lombard Street by Walter Bagehot

Kaiser: The Amazon miniseries The English

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