US one hundred dollar notes are seen in this picture illustration taken in Seoul. (Reuters)

A Canadian academic affirms that the US dollar's dominance over the world market is waning, pointing to a rising trend among international trading partners to use local currencies rather than the dollar.

James Brander, Professor at the University of British Columbia, said on Thursday that "the US dollar is the major reserve currency. Well, over half of all international currency reserves in the world are US dollar reserves. But the role of the US dollar has been declining. It's still big, but it has been declining."

He also acknowledged that other currencies have loomed large in international transactions, stressing that recent geopolitical tensions have pushed toward using other currencies, referring to Russia, and China among other countries.

"So, we've got a transaction between India and Russia and that's handled either in Indian currency or Russian currency. We're seeing more of that instead of US dollars. I don't see a problem with that," he stated.

Last month, Treasury Secretary Janet Yellen warned that the United States' economic sanctions imposed on Russia and other nations have put the dollar's hegemony at risk, as targeted countries seek out an alternative.

"There is a risk when we use financial sanctions that are linked to the role of the dollar that over time it could undermine the hegemony of the dollar," Yellen said.