In recent years, central banks around the world have displayed a growing interest to include assets denominated in currencies from emerging market economies (EMEs) as part of their international reserves.
In addition to the continuous search by reserve managers of an adequate balance between risks and returns on their portfolios, this has also been influenced by the improved economic fundamentals and the resilience shown by several of these economies to the difficulties arising from a complicated and, at times, turbulent global environment. The case of the Chinese renminbi is of particular note.