The Influence of RMB Settlement Globalization on the Political and Economic Evolution of Singapore Amidst US-China Rivalry

Abstract

At the dawn of the 21st century, the ascending comprehensive national strength of China has significantly bolstered the role of the RMB in global economic transactions, thereby expediting its international settlement globalization. This development, unfolding within the framework of an increasingly interconnected global economy, profoundly impacts Singapore. Positioned as a crucial trading partner and geographical neighbor to China, while simultaneously serving as a vital security ally of the United States in Asia, Singapore's political and economic landscapes are witnessing transformative shifts. This paper endeavors to meticulously examine and elucidate the specific impacts of RMB settlement globalization on Singapore's political and economic dimensions. Moreover, it aims to explore the potential challenges and opportunities that these impacts may engender for Singapore in the near future, particularly against the backdrop of the US-China competition. The analysis of how the global proliferation of RMB settlement is reshaping Singapore, alongside the nature and direction of this influence amid the strategic rivalry between the US and China, is of paramount importance. It provides deep insights into the evolution of the global political-economic order and assists in formulating strategies for middle-tier nations like Singapore within the changing regional dynamics. By offering a detailed understanding of these developments, this study acts as an essential guide for navigating crises, capitalizing on developmental opportunities, and actively participating in regional affairs.