A bipolar currency regime is likely to replace the current greenback-based unipolar system, famed economist Nouriel Roubini believes
The US dollar’s status as the world’s main reserve currency is in jeopardy, renowned economist Nouriel Roubini, who predicted the global financial crisis of 2008, wrote in an article for the Financial Times on Sunday.
While no currency is yet capable of knocking the greenback off its pedestal altogether, the US currency is quickly losing its competitive advantage to the Chinese yuan, Roubini wrote.
“Given the increased weaponization of the dollar for national security purposes, and the growing geopolitical rivalry between the west and revisionist powers such as China, Russia, Iran and North Korea, some argue that de-dollarization will accelerate…In a world that will be increasingly divided into two geopolitical spheres of influence – namely those surrounding the US and China – it is likely that a bipolar…currency regime will eventually replace the unipolar one,” the economist, dubbed ‘Doctor Doom’ by Wall Street for his tendency toward grim predictions, stated.
Sceptics note that the yuan cannot become a true reserve currency unless Beijing lifts capital controls, accepts permanent current account deficits, and the yuan’s exchange rate becomes more flexible. But the economist argues that such points are no longer valid, as Washington is actively undermining the allure of its currency with sanctions.
“Complete exchange rate flexibility and international capital mobility is not necessary in order for a country to achieve reserve currency status…And while China may have capital controls, the US has its own version that may reduce the appeal of dollar assets among foes and relative friends. These include financial sanctions against its rivals, restrictions to inward investment in many national security-sensitive sectors and firms, and even secondary sanctions against friends who violate the primary ones,” Roubini argued.
The economist also noted that China has been stepping up yuan transactions with its foreign partners, and said this trend will likely continue, with more emerging market economies welcoming “the ability to trade oil in [yuan] and to hold a greater share of their reserves in the Chinese currency… given that they do a great deal more trade with China than the US.” He added that new technologies, like CBDCs, Alipay-like payment systems, swap lines between China and its partners and national analogs of the SWIFT messaging system, “will hasten the advent of a bipolar global monetary and financial system.”
“For all these reasons, the relative decline of the US dollar as the main reserve currency is likely to occur over the next decade. The intensifying geopolitical contest between Washington and Beijing will inevitably be felt in a bipolar global reserve currency regime as well,” Roubini concluded.
https://www.rt.com/business/571017-nouriel-roubini-us-dollar-demise/
The Islamic Revolution Guards Corps’ (IRGC) Intelligence Unit says Iran will consider the Israeli regime’s shelters “legitimate targets” if residential areas in the country come under attack.
In a post published on social media platform X on Tuesday, the IRGC said that any strikes on residential areas in Iran would give Iran’s armed forces the right to attack Israeli shelters in the occupied lands.
The IRGC stated that it has intelligence on the blueprints and the exact locations of these shelters.
Iran began its Operation True Promise 4 after the US and Israel launched their joint military aggression against the Islamic Republic in late February by assassinating Leader of the Islamic Revolution, Ayatollah Sayyed Ali Khamenei, and several senior Iranian officials.
In its latest wave of attacks, the IRGC said it rained down missiles on the Israeli regime’s “secure” intelligence facilities in Tel Aviv.
Iranian armed forces have also pounded American military bases and ...
In a fresh wave of retaliatory strikes, the Islamic Revolution Guards Corps (IRGC) targeted the Israeli regime’s “secure” intelligence facilities in Tel Aviv.
The IRGC’s Public Relations Department said in a statement on Tuesday that it had carried out the 79th wave of its ongoing retaliatory Operation True Promise 4 against the Israeli and American targets.
Deploying powerful Kheybar Shekan, Emad, and Sejjil missiles alongside IRGC Aerospace Force kamikaze drones, the operation successfully breached the regime's multi-layered air defense systems, the statement said.
The missiles, it stated, targeted Israel’s intelligence facilities in northern and central Tel Aviv, as well as military commercial and support centers in Ramat Gan and the Negev.
The missiles also hit Israel’s southern military logistics and command headquarters in Beersheba.
The missile strikes triggered widespread panic across Israel and forced the suspension of a Knesset (parliament) session on Tuesday.
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The Islamic Revolution Guards Corps (IRGC) announces staging the 78th wave of its underway retaliatory Operation True Promise 4, targeting such highly sensitive Israeli targets as Dimona, Tel Aviv, and Eilat as well as several US military bases in the region.
In a statement on Tuesday, the IRGC described the latest phase of the operation as a significant development featuring missiles raining down on enemy targets as the nation was leveling momentous support behind the Islamic Republic by attending millions-strong rallies with "clenched fists."
'A distinct record'
The latest phase, it noted, "has set a distinct record in the timeline of the war."
According to the statement, targets in the occupied port of Eilat, Dimona, a heavily fortified city that hosts the Israeli regime's notorious nuclear reactor in its vicinity, and northern Tel Aviv were struck using Emad and multi-warhead Qadr missile systems along with attack drones.
This was the second time the Corps was hitting Dimona, ...
