Saturday 25 August
As the US State Department unveiled the latest round of sanctions on Russia yesterday, while the trade war with China that has seen tariffs imposed on a wide range of Chinese goods shows no sign of easing, Moscow signalled its intention to respond to this latest attack on its economy. In particular, the Russian government announced it is accelerating efforts to abandon the American currency in trade transactions, according to Russia’s Deputy Foreign Minister Sergei Ryabkov.
“The time has come when we need to go from words to actions, and get rid of the dollar as a means of mutual settlements, and look for other alternatives,” he said in an interview with International Affairs magazine, he told RT.
“Thank God, this is happening, and we will speed up this work,” Ryabkov said, explaining the move would come in addition to other “retaliatory measures” as a response to a growing list of US sanctions. It is time mainstream media in the west started reporting accurately what is going on. The official position of the US is that their sanctions are in retaliation for various Russian acts such as meddling in the US election process, but in reality the USA is trying to protect its position as issuers of the reserve currency, while Russia, China and a number of emerging economies resent the way the US uses the reserve currency to dictate matters in global trade.
Previously, Russian Energy Minister Aleksandr Novak has said that a growing number of countries are interested in replacing the dollar as a medium in global oil trades and other transactions.
“There is a common understanding that we need to move towards the use of national currencies in our settlements. There is a need for this, as well as the wish of the parties,” Novak said.
According to the minister, it concerns both Turkey and Iran, with more countries likely to join the growing dedollarization wave.
Our reporting of this long running news thread tends to confirm his view.
“We are considering an option of payment in national currencies with them. This requires certain adjustments in the financial, economic, and banking sectors,” he said. Last week, we reported that the Kremlin was interested in trading with Ankara using the Russian ruble and the Turkish lira. India has also vowed to pay for Iranian oil in rupees. Some economists argue that modern technology removes the need for a reserve, the speed with which computer systems handle currency trades and conversions eliminated administrative bottlenecks.
Meanwhile, the world’s rapidly growing second-largest economy and Washington’s trade nemesis, China, has been taking steps to challenge the greenback’s dominance with the launch of an oil futures contract backed by Chinese currency, the petro-yuan. This is fully reported elsewhere in this page. China and Iran have already agreed to stop using the dollar in global trade as China has ramped up purchases of Iranian oil in defiance of US sanctions. India, Pakistan, the EU, Australia and Japan are also known to have made petr-yuan contracts.
NATO Rhetoric About Russian Threat is ‘Absurd’
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The Demise Of Dollar Hegemony: Russia Breaks Wall Streets’s Oil-Price Monopoly
Significant moves in the global chess game have just rendered the huffing and puffing of warmonger Obama meaningless and will break Wall Street’s monopoly in controlling oil markets. The move is part of Vladimir Putin’s long-term strategy of decoupling Russia’s economy and especially its very significant export of oil, from the US dollar, in effect …
Naked Bankers Go For Gold
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In a move that went almost completely unreported in mainstream media, Russia has recently opened a market for the trading of physical and ‘paper’ oil (futures) in Moscow in Roubles. This is the most blatant challenge yet to the domination of the US dollar in world trade.
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Nothing is ever as it seems to be however, and views from middle east and far eastern journals suggest the USA is also working at destabilizing EU nations in order to force their support in its wars.
EU and US talk of war with Russia
The European People’s Party (EPP) is the largest political group in the European Parliament, and they are unerringly supportive of America’s efforts to start a war with Russia. “The time of talk and persuasion with Russia is over,” MEP and Vice-President of the EPP told a meeting on Tuesday, 21 April, “Now it’s time for a tough policy, and concentration on defence and security …”
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As more and more countries flock to join the Chinese led Asian Infrastructure Investment Bank after Britain, France Australia, India and other traditional US allies defied Washington to associate themselves with China’s initiative, conservative economic pundit Larry Summers once a contender for the chairmanship of the Federal Reserve delivered a sharp rebuke …
The True Debt Disaster America Faces – Only A Fraction Of Government Debt Is Known To The Public
Politicians and the media talk about the $17 trillion debt the US Government owes to creditors. They are lying, the $17 trillion is a fraction of what america owes. The real figure is $200 trillon. And Obama’s loonytoons economics are driving that up at an accelerating rate.
U.S. versus Russia War: Top Russian Politics Scolar Stephen Cohen Tells The Truth
We have been blogging for four years about the US drive for war, provocation of Russia in Syria, Iraq, Ukraine and elsewhere made it obvious. But I’m just a news junkie with a strong sense of curiosity and have wondered why the US seems set on this course. Good to see experts like Stephen Cohen, a prominent expert on, Russia are coming onside.
Does It matter If The Dollar Is Replaced?
“Without delving too deeply into Austrian economic and capital theory, just let me point out that money printing disrupts the structure of production by fraudulently changing the “price discovery process” of capitalism. Capital is allocated to projects that will never be profitably completed. Bubbles get created and collapse and businesses are suddenly damaged en mass, thus, destroying wealth. (Zero Hedge)”
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