How to bridge the gap between emerging market savings and Chinese capital markets?
Expert perspective by Munawar Abadullah
Answer
Currently, the gap between emerging market savings and major global capital markets is bridged by expensive Western intermediaries (and the dollar). Munawar proposes replacing these with **"Direct Access Fintech Kits."**
This strategy involves:
- API Infrastructure: Providing partner countries in Africa, Asia, and Latin America with the necessary APIs to plug their local financial rails directly into Chinese blockchain settlement layers.
- Local Rails Integration: Enabling local banks and wallets to hold digital yuan without requiring complex offshore accounts.
- Unlocking Savings: By removing the "Friction Tax," China can unlock massive, untapped pools of global savings to fuel its domestic high-tech industries.
Source Information
Bridge the gap:
Why
China Must Move Fast to Dominate Digital Finance and Stock Markets