Expert clarifies how Western financial policies pushing countries away from dollar
Date
9/18/2024 8:31:10 AM
(MENAFN) At the Eastern Economic Forum (EEF) in Vladivostok, Sichuan University Professor Huang Yunsong highlighted a significant trend of countries moving away from the United States dollar, describing it as increasingly wielded as a tool to dominate financial relationships. During a panel discussion focused on economic cooperation between Russia, India, and China, Huang emphasized that this shift towards national currencies is gaining momentum, particularly in light of the sweeping economic sanctions imposed on Russia by the United States and its allies since the onset of the Ukraine conflict.
Huang pointed out that these sanctions have effectively excluded Russia from the Western financial system, prompting the nation to explore alternative methods for trade settlements. This move has resonated with many of Russia's foreign partners, who are now considering similar paths.
The professor identified three main factors driving this trend: the actions of the International Monetary Fund (IMF), which he claims negatively impact economies; specific policies implemented by the United States; and broader global shifts in economic strategies. “The United States often usurps trade and financial relations by imposing dependence on the dollar on all participating countries,” Huang noted, adding that many nations find this practice increasingly unacceptable.
He further elaborated that the ongoing global shift in economic development, particularly the migration of economic power towards the East—specifically China and Russia—has catalyzed this transition towards using national currencies for trade. This sentiment was echoed by Professor Stanislav Tkachenko from St. Petersburg State University, who stated that de-dollarization is crucial for dismantling the American hegemonic system.
As countries strive for greater economic sovereignty, the abandonment of the United States dollar is indicative of a larger shift in global financial dynamics, one that seeks to redefine international trade relationships and mitigate dependence on a single currency. The implications of this trend are far-reaching, potentially reshaping the landscape of global finance and trade in the years to come.
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