Global Powers and the International Currencies: What Does the Last Years Suggest for the Future?

Conference paper
Part of the Springer Proceedings in Business and Economics book series (SPBE)


Starting from the literature that identifies different factors which determine whether a currency plays a global role, we propose an analysis of international status of major currencies using the following criteria: the demographic, economic, commercial, and financial size and importance of the currency issuer, the currency issuer’s financial market, and the history of using currency. We consider that the international use of a currency is mainly defined by the issuer’s place in the global economy, including its share of world trade and the size of its economy and financial market. The US dollar’s reference position was less influenced by the introduction of the euro, but nowadays it may be affected by the growing importance of China, the decline of the US political and economic power, and the crisis of the European Union.


Global powers International currencies Criteria 


  1. Auboin, M.: Use of currencies in international trade: any changes in the picture? WTO Staff Working Paper, ERSD-2012-10 (2012)Google Scholar
  2. Bergsten, C.F.: The Dilemmas of the Dollar: The Economics and Politics of United States International Monetary Policy. A Council on Foreign Relations Book. M.E. Sharpe, New York (1996)Google Scholar
  3. Bergsten, C.F.: The Dilemmas of the Dollar: The Economics and Politics of United States International Monetary Policy. A Council on Foreign Relations Book, 2nd edn. Routledge, London/New York (2015)Google Scholar
  4. Chinn, M., Frankel, J.: The euro may over the next 15 years surpass the dollar as leading international currency. NBER Working Paper, 13909 (2008)Google Scholar
  5. Cohen, B.: Renminbi Internationalization: a Conflict of Statecrafts. Prepared for presentation at the ISA International Conference 2017, Hong Kong 15–18 June 2017, (2017). Accessed 8 Aug 2017
  6. ECB: International Role of the Euro, July (2015)Google Scholar
  7. ECB: Financial Integration in Europe, May (2017)Google Scholar
  8. Eichengreen, B.: Sterling’s Past, Dollar’s Future: Historical Perspectives on Reserve Currency Competition. NBER Working Paper, 11336 (2005)Google Scholar
  9. Eichengreen, B.: Global Monetary Order, in Conference proceedings The future of the international monetary and financial architecture, 27–29 June 2016, Sintra, Portugal, pp. 21–63. (2016). Accessed 09 July 2017
  10. European Commission: Conference report European financial market integration – Opportunities and challenges from a transatlantic perspective (6.6.2016). Accessed 25 August 2017
  11. IMF: World Economic Outlook Database, April (2017). Accessed July 2017Google Scholar
  12. IMF: International Financial Statistics databaseGoogle Scholar
  13. SWIFT: RMB Tracker, April (2017)Google Scholar
  14. Solans, D.: The international role of the euro in a globalised economy. Pareto Securities EconomicConference, Oslo, March (2003)Google Scholar
  15. Tavlas, G.: The international use of currencies: the U.S. dollar and the euro finance and development, June 1998, 35(2).
  16. UNCTADstat databaseGoogle Scholar
  17. World Bank: World Development Indicators Database, April (2017). Accessed June 2017Google Scholar
  18. World Federation of Exchange: WFE Database (2017). Accessed June 2017Google Scholar
  19. World Trade Organization: World Trade Statistical Review (2016)Google Scholar

Copyright information

© Springer International Publishing AG 2018

Authors and Affiliations

  1. 1.Lucian Blaga University of SibiuSibiuRomania

Personalised recommendations