https://www.rt.com/business/463118-us-fight-dollar-demise/
Expect US to fight back as Russia & China lead BRICS away from dollar trade
Published time: 1 Jul, 2019 12:48 Edited time: 1 Jul, 2019 13:03
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FILE PHOTO: US dollar sign rings © Reuters / Mike Segar
While Russia and China’s push to reduce the role of the US dollar in trade is catching on, don’t expect Washington to give up its global economic dominance without a fight, political expert Jack Rasmus, told RT.
The two countries’ presidents, Vladimir Putin and Xi Jinping, recently announced their intention to expand the use of their national currencies –the ruble and the yuan– in bilateral financial transactions. The two states have agreed to develop financial instruments for this purpose and signed an intergovernmental agreement to boost cross-currency settlements. Both are also working on their own alternatives to the globally recognized SWIFT payment system.
Also on rt.com Russia & China agree to significantly boost trade in ruble and yuan at the expense of the US dollar
“It’s only at the very beginning and we’re talking about only two countries. They’re fairy large countries and it could be a significant amount of trade in non-dollar currencies or in kind,” Jack Rasmus, professor of political economy at Saint Mary’s College of California, told RT.
While Russia has already called on allied emerging economies –Brazil, Russia, India, China and South Africa (BRICS)– to develop settlement instruments in national currencies, the anti-dollar push will not go unnoticed and will face a response from Washington, according to the analyst.
Also on rt.com ‘Dollar becoming toxic’, more nations searching for alternatives – Russia’s foreign intel chief
“Dollar is still the global currency. I think it’ll be a fight with BRICS. The US won't stand by and do nothing if BRICS join the China-Russia payment system,” Rasmus said. He added that if BRICS countries finally join Russia and China, Washington will definitely “take counter-actions overtly and covertly to discourage it.”
The analyst also believes the US is alienating other countries as it imposes sanctions whenever it wants to. However, sanctions can easily backfire, as countries will turn away from the US if it continues to use them as a political weapon, according to the expert.
“The use of sanctions is a short-term weapon....but, in the long term, it may come back and bite the US if it pushes too hard,” Rasmus noted. “If the US continues with strong-arming, with sanctions whenever it wants something from another country, then other countries are gonna move further in that direction.”
For more stories on economy & finance visit RT's business section
https://www.rt.com/business/462194-dollar-becoming-toxic-russia/
‘Dollar becoming toxic’, more nations searching for alternatives – Russia’s foreign intel chief
Published time: 19 Jun, 2019 09:02 Edited time: 19 Jun, 2019 14:19
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© Getty Images / LdF
The use of the US dollar presents risks and more nations are looking into finding alternative tools for doing business, according to the director of the Russian Foreign Intelligence Service, Sergey Naryshkin.
He called US currency an anachronism of the modern world economy, accusing Washington of using sanctions as a political tool.
Talking at an international meeting of security representatives in the Russian city of Ufa, the head of Russian intelligence said: “It seems bewildering that the US continues to be the holder of the main reserve currency while behaving so aggressively and unpredictably.”
Also on rt.com Russia bringing back the gold standard may kill US dollar & solve main problem of cryptocurrencies
Naryshkin added: “The monopoly position of the dollar in international economic relations has become anachronistic. Gradually, the dollar is becoming toxic.”
Countries across the globe, including Russia, China, India, and others, have been working to diversify their foreign reserves away from the greenback.
Also on rt.com Gold is always shiny but US dollar is a ‘hyperinflated bubble’ ready to pop – RT’s Keiser Report
Russia has taken concrete steps towards de-dollarizing the economy. So far, Moscow has managed to partially phase out the dollar from its exports, signing currency-swap agreements with a number of countries, including China, India, and Iran. Russia has recently proposed using the euro instead of the US dollar in trade with the European Union.
For more stories on economy & finance visit RT's business section
Russia & China agree to significantly boost trade in ruble and yuan at the expense of the US dollar
Published time: 28 Jun, 2019 08:45 Edited time: 28 Jun, 2019 10:31
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© Getty Images / Mike Kemp
Moscow and Beijing have inked an intergovernmental agreement to switch to national currencies in bilateral trade and boost cross-currency settlements up to 50 percent as they ramp up efforts to move away from the US dollar.
The document was signed by Russian Finance Minister Anton Siluanov and the head of the People’s Bank of China, Yi Gang, earlier in June, Izvestia reports.
Moscow and Beijing are currently developing new mechanisms of cross-border payments between Russian and Chinese businesses, the newspaper said, citing a letter from Deputy Finance Minister Sergey Storchak to Anatoly Aksakov, the head of the financial market committee of the State Duma (lower chamber of Russia’s parliament). The two sides may settle payment gateways between their domestic alternatives to the traditional SWIFT system, Russia’s System for Transfer of Financial Messages (SPFS) and China’s Cross-Border Inter-Bank Payments System (CIPS).
Also on rt.com Global trust in the US dollar is falling – Putin
The two countries will have to develop ruble and yuan financial instruments to boost cross-currency trade and mitigate risks of exchange rate fluctuations, according to Aksakov. He added that in the coming years, the share of settlements in national currencies between Russia and China could increase fivefold – from 10 to 50 percent.
The mechanism of payments in national currencies is set to be developed by next year. At first, major companies with state participation from sectors such as energy and agriculture will switch to it. The yuan-ruble payments will also be made on existing contracts which stipulate settlement in dollars.
Also on rt.com Foreign banks willing to join Russia’s alternative to SWIFT
China is Russia’s largest trading partner, with bilateral trade exceeding $107 billion. The two sides are also planning to double the current trade volume in the next few years.
For more stories on economy & finance visit RT's business section
https://www.rt.com/business/461593-shiny-gold-dollar-bubble/
Gold is always shiny but US dollar is a ‘hyperinflated bubble’ ready to pop – RT’s Keiser Report
Published time: 11 Jun, 2019 12:51
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© Global Look Press / Artur Cupak
Malaysian Prime Minister Dr. Mahathir Mohamad proposed a gold-backed currency as a unit of account for trade between East Asian nations. Today's currency trading is manipulative, he said.
“For the past 40+ years we’ve tried to remove ourselves from a gold standard, we pretended it doesn’t exist… and that failed because gold is always telling the truth… and you don’t have to trust to somebody printing up a whole bunch of money,” says Stacy Herbert.
She quotes the Malaysian PM who said the global market is tied to the US dollar, which gives room for the currency to be manipulated.
Max Keiser calls the US dollar “a currency that is now in a hyperinflated bubble,” saying that once it pops we’ll see gold price jump from $1300 per ounce to $2900.
For more stories on economy & finance visit RT's business section
Expect US to fight back as Russia & China lead BRICS away from dollar trade
Published time: 1 Jul, 2019 12:48 Edited time: 1 Jul, 2019 13:03
Get short URL
FILE PHOTO: US dollar sign rings © Reuters / Mike Segar
- 49
- 1
While Russia and China’s push to reduce the role of the US dollar in trade is catching on, don’t expect Washington to give up its global economic dominance without a fight, political expert Jack Rasmus, told RT.
The two countries’ presidents, Vladimir Putin and Xi Jinping, recently announced their intention to expand the use of their national currencies –the ruble and the yuan– in bilateral financial transactions. The two states have agreed to develop financial instruments for this purpose and signed an intergovernmental agreement to boost cross-currency settlements. Both are also working on their own alternatives to the globally recognized SWIFT payment system.
Also on rt.com Russia & China agree to significantly boost trade in ruble and yuan at the expense of the US dollar
“It’s only at the very beginning and we’re talking about only two countries. They’re fairy large countries and it could be a significant amount of trade in non-dollar currencies or in kind,” Jack Rasmus, professor of political economy at Saint Mary’s College of California, told RT.
While Russia has already called on allied emerging economies –Brazil, Russia, India, China and South Africa (BRICS)– to develop settlement instruments in national currencies, the anti-dollar push will not go unnoticed and will face a response from Washington, according to the analyst.
Also on rt.com ‘Dollar becoming toxic’, more nations searching for alternatives – Russia’s foreign intel chief
“Dollar is still the global currency. I think it’ll be a fight with BRICS. The US won't stand by and do nothing if BRICS join the China-Russia payment system,” Rasmus said. He added that if BRICS countries finally join Russia and China, Washington will definitely “take counter-actions overtly and covertly to discourage it.”
The analyst also believes the US is alienating other countries as it imposes sanctions whenever it wants to. However, sanctions can easily backfire, as countries will turn away from the US if it continues to use them as a political weapon, according to the expert.
“The use of sanctions is a short-term weapon....but, in the long term, it may come back and bite the US if it pushes too hard,” Rasmus noted. “If the US continues with strong-arming, with sanctions whenever it wants something from another country, then other countries are gonna move further in that direction.”
For more stories on economy & finance visit RT's business section
https://www.rt.com/business/462194-dollar-becoming-toxic-russia/
‘Dollar becoming toxic’, more nations searching for alternatives – Russia’s foreign intel chief
Published time: 19 Jun, 2019 09:02 Edited time: 19 Jun, 2019 14:19
Get short URL
© Getty Images / LdF
- 200
- 1
The use of the US dollar presents risks and more nations are looking into finding alternative tools for doing business, according to the director of the Russian Foreign Intelligence Service, Sergey Naryshkin.
He called US currency an anachronism of the modern world economy, accusing Washington of using sanctions as a political tool.
Talking at an international meeting of security representatives in the Russian city of Ufa, the head of Russian intelligence said: “It seems bewildering that the US continues to be the holder of the main reserve currency while behaving so aggressively and unpredictably.”
Also on rt.com Russia bringing back the gold standard may kill US dollar & solve main problem of cryptocurrencies
Naryshkin added: “The monopoly position of the dollar in international economic relations has become anachronistic. Gradually, the dollar is becoming toxic.”
Countries across the globe, including Russia, China, India, and others, have been working to diversify their foreign reserves away from the greenback.
Also on rt.com Gold is always shiny but US dollar is a ‘hyperinflated bubble’ ready to pop – RT’s Keiser Report
Russia has taken concrete steps towards de-dollarizing the economy. So far, Moscow has managed to partially phase out the dollar from its exports, signing currency-swap agreements with a number of countries, including China, India, and Iran. Russia has recently proposed using the euro instead of the US dollar in trade with the European Union.
For more stories on economy & finance visit RT's business section
- 200
- 1
Russia & China agree to significantly boost trade in ruble and yuan at the expense of the US dollar
Published time: 28 Jun, 2019 08:45 Edited time: 28 Jun, 2019 10:31
Get short URL
© Getty Images / Mike Kemp
- 1784
- 1
Moscow and Beijing have inked an intergovernmental agreement to switch to national currencies in bilateral trade and boost cross-currency settlements up to 50 percent as they ramp up efforts to move away from the US dollar.
The document was signed by Russian Finance Minister Anton Siluanov and the head of the People’s Bank of China, Yi Gang, earlier in June, Izvestia reports.
Moscow and Beijing are currently developing new mechanisms of cross-border payments between Russian and Chinese businesses, the newspaper said, citing a letter from Deputy Finance Minister Sergey Storchak to Anatoly Aksakov, the head of the financial market committee of the State Duma (lower chamber of Russia’s parliament). The two sides may settle payment gateways between their domestic alternatives to the traditional SWIFT system, Russia’s System for Transfer of Financial Messages (SPFS) and China’s Cross-Border Inter-Bank Payments System (CIPS).
Also on rt.com Global trust in the US dollar is falling – Putin
The two countries will have to develop ruble and yuan financial instruments to boost cross-currency trade and mitigate risks of exchange rate fluctuations, according to Aksakov. He added that in the coming years, the share of settlements in national currencies between Russia and China could increase fivefold – from 10 to 50 percent.
The mechanism of payments in national currencies is set to be developed by next year. At first, major companies with state participation from sectors such as energy and agriculture will switch to it. The yuan-ruble payments will also be made on existing contracts which stipulate settlement in dollars.
Also on rt.com Foreign banks willing to join Russia’s alternative to SWIFT
China is Russia’s largest trading partner, with bilateral trade exceeding $107 billion. The two sides are also planning to double the current trade volume in the next few years.
For more stories on economy & finance visit RT's business section
- 1784
- 1
https://www.rt.com/business/461593-shiny-gold-dollar-bubble/
Gold is always shiny but US dollar is a ‘hyperinflated bubble’ ready to pop – RT’s Keiser Report
Published time: 11 Jun, 2019 12:51
Get short URL
© Global Look Press / Artur Cupak
- 287
- 1
Malaysian Prime Minister Dr. Mahathir Mohamad proposed a gold-backed currency as a unit of account for trade between East Asian nations. Today's currency trading is manipulative, he said.
“For the past 40+ years we’ve tried to remove ourselves from a gold standard, we pretended it doesn’t exist… and that failed because gold is always telling the truth… and you don’t have to trust to somebody printing up a whole bunch of money,” says Stacy Herbert.
She quotes the Malaysian PM who said the global market is tied to the US dollar, which gives room for the currency to be manipulated.
Max Keiser calls the US dollar “a currency that is now in a hyperinflated bubble,” saying that once it pops we’ll see gold price jump from $1300 per ounce to $2900.
For more stories on economy & finance visit RT's business section
