Global risks are spreading as policymakers flounder. Major central banks have stopped growth from collapsing but also exposed serious financial weaknesses. Low-income and frontier economies are suffering the most but major emerging markets such as China and India have held up well.

Misguided policies around the world have compounded the effects of supply chain disruptions and the war in Ukraine, putting an end to the global recovery. Policymakers have little room for error to coordinate fiscal and monetary actions to tame inflation and improve long-term growth.

Despite some good news, many economies across the globe have flat or negative growth while central banks have fewer tools to respond than in 2008. Governments have only one good option – further aggressive fiscal stimulus.

China’s digital currency and its cross-border payments system will enhance the renminbi’s role as an international payments currency if Beijing continues to reform financial markets and remove restrictions on capital flows. But the dollar will remain the global reserve currency of choice.

Scarcely a week passes without news about the ascendance of the renminbi. But China has a long way to go before its currency can rival - let alone displace - the US dollar as the dominant global reserve currency.