Tuesday, September 25, 2018

Global de-dollarization has become a strategic priority for a growing number of world economies

Just as the United States now uses economic sanctions and the dollar as a 'weapon' in both foreign and economic policy, so too are many world economies starting to take seriously the strategic priority of de-dollarization.

In the past economic sanctions were limited by the keeper of the reserve currency to third world countries and petty dictators who defied the U.S. in their agendas.  However ever since Washington began to punish their own allies by dictating how they should run their own affairs when it comes to trade and partnerships, the backlash has accelerated in recent years with even the EU now getting on board for an alternate payment system.

As such, de-dollarization for Beijing, Moscow and Tehran has become a strategic priority, but it becomes more of a problem when leading European Union politicians like the EU President Junkers are also voicing the same opinion as they have seen the extra-territorial reach of the US financial system when they are desperately and fruitlessly trying to ensure that the Iran nuclear accord can be put on a life support system without the use of the US dollar. 
For all these countries, eliminating the unlimited spending capacity of the US Central Bank in printing dollars means limiting US political reach and diminishing global destabilization. Since printing paper money is nothing short of counterfeiting, the issuer of the international currency must always be the country with the military might to guarantee control over the system. - Alarabiya
Interestingly as well, one could almost believe that destroying the dollar as the world's reserve currency has truly become an agenda item of the Trump administration since his policies of sanctions and tariffs are almost begging nations like Russia and China to completely disconnect from the dollar based system.

President Trump has made it his priority to end globalism, re-establish fair trade on his own terms and even being willing to set fire to America's economy in order to 'fix' the decades worth of unfair and unbalanced trade agreements.  And perhaps if that means ending the dollar as the reserve currency in order to re-establish bi-lateral trade over the corruption that was NAFTA, TPP, and even the WTO, then using the dollar as a weapon to make it unbearable for other nations to use seems to be working as the world accelerates towards a completely new monetary system.

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