De-Dollarisation in International Payments: Trend or Fiction

Todorova Vesela, Moraliyska Monika () and Raycheva Iva
Additional contact information
Todorova Vesela: International Economic Relations & Business Dept., University of National and World Economy, Bulgaria
Moraliyska Monika: International Economic Relations & Business Dept., University of National and World Economy, Bulgaria
Raycheva Iva: Statistics and Econometrics Dept., University of National and World Economy, Bulgaria

Economics, 2024, vol. 12, issue 2, 129-144

Abstract: The present research paper is focused the widely debated topic related to de-dollarization. It examines the trend of de-dollarization to check if the statements that the dollar is losing its weight and is about to lose its leading position in international trade payments are substantiated. Firstly, the theoretical framework behind the dollarization is explored. Secondly, the factors believed to be the basis of the de-dollarization process have been identified and analyzed, which are related to: geopolitical processes, changes in international payments policy in some BRICS countries, changes in international trade, etc. A performed analysis of the currency turnover in international trade, based on data from official sources, was made through forecast regression, which predicts the development of the share of the dollar in international payments. A correlation matrix was also calculated, showing the correlation links between the dollar and the other leadng currencies. The hypothesis, which is confirmed by the practical research, is that the de-dollarization process is proceeding slowly and uncertainly, and will continue to develop at a low pace leading to insignificant changes in the structure of the currency composition of international payments in the short and medium term. Further research could further explore each of the factors that could lead to a real dedollarisation trend in international payments.

Keywords: international payments; foreign exchange; currency; dedollarisation (search for similar items in EconPapers)
JEL-codes: F31 F36 F37 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.2478/eoik-2024-0018 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:vrs:econom:v:12:y:2024:i:2:p:129-144:n:1008

DOI: 10.2478/eoik-2024-0018

Access Statistics for this article

Economics is currently edited by Stelios Bekiros

More articles in Economics from Sciendo
Bibliographic data for series maintained by Peter Golla ().