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[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. Res. 460 Introduced in Senate (IS)]

<DOC>

118th CONGRESS
  1st Session
S. RES. 460

  Supporting the United States dollar as the reserve currency of the 
world and combating the economic influence of the People's Republic of 
                                 China.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           November 13, 2023

  Mr. Budd (for himself, Mrs. Shaheen, Mr. Rubio, Ms. Klobuchar, Mr. 
Manchin, and Mr. Van Hollen) submitted the following resolution; which 
           was referred to the Committee on Foreign Relations

_______________________________________________________________________

                               RESOLUTION

 
  Supporting the United States dollar as the reserve currency of the 
world and combating the economic influence of the People's Republic of 
                                 China.

Whereas the United States dollar serves an indispensable role in global commerce 
        and finance;
Whereas the United States dollar represents--

    (1) a stable, rule of law-based legal system;

    (2) democratic, representative government institutions;

    (3) highly liquid and reliable capital markets;

    (4) a robust and dynamic capitalist domestic economy;

    (5) deep and extensive global trading relationships; and

    (6) a significant commitment to market-based, free-floating exchange 
rates and independent monetary policy;

Whereas the International Monetary Fund reports the United States dollar 
        accounted for approximately 71 percent of global currency reserves in 
        1999 and has since declined to 58.88 percent in 2023;
Whereas the People's renminbi, the official currency of the People's Republic of 
        China (commonly referred to as the ``yuan''), accounted for 2.45 percent 
        of global currency reserves in the second quarter of 2023;
Whereas the People's Republic of China appears to have built substantial 
        ``shadow reserves'' that are under the control of the People's Bank of 
        China, the central bank of the People's Republic of China, but are 
        obscured from international data;
Whereas, in the fall of 2023, the People's Republic of China reportedly 
        intervened in international currency markets to support the renminbi;
Whereas the Chinese Communist Party has disregarded the Paris Club and the 
        Organisation for Economic Co-operation and Development and saddled 
        developing countries with opaque and unsustainable debt, including 
        through the Belt and Road Initiative;
Whereas the Chinese Communist Party's refusal to disclose its lending to foreign 
        countries and reluctance to engage in significant debt restructuring is 
        undermining the missions of the International Monetary Fund and the 
        World Bank related to global economic development and stability;
Whereas the Chinese Communist Party is now the largest official creditor and 
        provider of export subsidies in the world;
Whereas the Belt and Road Initiative has led to an increased reliance on capital 
        from the People's Republic of China in developing countries;
Whereas, since 2013, the Chinese Communist Party has invested more than 
        $1,000,000,000,000 in projects under the Belt and Road Initiative around 
        the world;
Whereas the People's Republic of China has been taking aggressive steps towards 
        developing its central bank digital currency, the digital yuan;
Whereas the People's Republic of China has worked to expand the use cases of the 
        digital yuan for the Belt and Road Initiative and to settle cross-border 
        transactions;
Whereas Brazil and Argentina, the two largest economies in South America, have 
        taken steps to facilitate their trade with the People's Republic of 
        China using the yuan instead of the United States dollar;
Whereas the People's Republic of China has sought to influence the global 
        economy by expanding the BRICS group, made up of Brazil, Russia, India, 
        China, and South Africa, and in August 2023, the BRICS group announced 
        it was inviting Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, and the 
        United Arab Emirates to join the group, and several members of the BRICS 
        group have supported using the group to support a competitor currency to 
        the United States dollar; and
Whereas the efforts of the Chinese Communist Party to develop a parallel 
        financial system to rival United States-led institutions poses a threat 
        to the economy and national security of the United States: Now, 
        therefore, be it
    Resolved, That it is the sense of the Senate that--
            (1) the United States must take steps to protect the United 
        States dollar as the reserve currency of the world and maintain 
        its position as a key player in the global financial system;
            (2) the efforts of the Government of the People's Republic 
        of China to undermine the status of the United States dollar as 
        the reserve currency of the world must be closely monitored, 
        and appropriate measures must be taken to counter those 
        efforts;
            (3) the United States must work to strengthen its economic 
        ties with critical regions of the world to provide an 
        alternative to Chinese capital; and
            (4) the United States must continue to work with its allies 
        to promote economic policies that ensure growth and stability 
        across developing countries.
                                 <all>
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