China and Saudi Arabia sign a $7 billion currency swap agreement, adding to de-dollarization push

• China and Saudi Arabia signed a currency swap agreement worth around $7 billion.
• It's yet another push towards dedollarization as countries attempt to wean off use of the greenback.
• China's outstanding balance of forex swap lines hit a record 117.1 billion yuan, Bloomberg reported.

China and Saudi Arabia reached a currency swap agreement worth around $7 billion, marking another step in the dedollarization trend as countries around the world shift away from the greenback.

The three-year deal allows for a maximum of 50 billion yuan or 26 billion riyals.

While relatively small, the deal could loom larger symbolically as Saudi Arabia is the world's top oil exporter, and most global oil trades are conducted in dollars.