Federal Reserve Chair Jerome Powell said on Wednesday he expects the U.S. dollar to remain the world’s reserve currency as long as democratic institutions and the rule of law remain in place in the U.S.

“The status of the dollar as the world’s reserve currency is a very important thing to us,” Powell told the House Financial Services Committee. “I think the reason we have that status is largely due to our great democratic institutions, the rule of law, and the fact that we have, generally speaking, had strong levels of price stability.”

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“I think the dollar will remain the reserve currency as long as those things are in place,” he said.

The dollar share of official FX reserves fell to a 20-year low of 58% in the fourth quarter of 2022, according to International Monetary Fund data.