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 But the economist argues that such points are no longer valid, as Washington is actively undermining the allure of its currency with sanctions.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/
Ukraine says it has targeted an oil tanker in the Mediterranean Sea, claiming it belonged to the Russian shadow fleet.
The vessel, the Qendil, was empty when it was struck on Friday in neutral waters in the Mediterranean Sea with aerial drones for the first time, an official at the Security Service of Ukraine (SBU) said in a written statement.
Marine tracking websites showed that the oil tanker was located 2,000 km from Ukraine off the coast of Libya when it was attacked.
The unnamed Ukrainian official did not specify exactly where the tanker was at the time of the attack or when it occurred.
However, overhead footage provided by the source showed a small explosion on the deck of a tanker. Reuters confirmed the vessel shown in the video was the Qendil by comparing it with file imagery, but could not verify the time or location.
An earlier statement by the Russian Foreign Intelligence Service revealed that the British special services, in cooperation with NATO countries, had devised ...
eurofascism
The European Union is out of control and out of touch with reality. They announced a new round of sanctions on individuals and groups who refuse to drink the EU kool-aid on Ukriane. I was particularly shocked and angered by their decision to punish Colonel Jacques Baud:
Jacques Baud, a former Swiss army colonel and strategic analyst, is a regular guest on pro-Russian television and radio programmes. He acts as a mouthpiece for pro-Russian propaganda and makes conspiracy theories, for example accusing Ukraine of orchestrating its own invasion in order to join NATO.
Therefore, Jacques Baud is responsible for, implementing or supporting actions or policies attributable to the Government of the Russian Federation which undermine or threaten stability or security in a third country (Ukraine) by engaging in the use of information manipulation and interference.”
You know it is a serious matter of egregious abuse of power when Dr. Gilbert Doctorow and I are in firm agreement… Here ...
Volkswagen is shutting down its Dresden plant—the first closure in its 88-year history—due to skyrocketing energy costs, plummeting sales and geopolitical pressures. The "Transparent Factory" was once a symbol of VW's EV ambitions but failed commercially, producing fewer than 200,000 vehicles since 2001.
Up to 35,000 German jobs could be slashed by 2030, including thousands in R&D, as part of a brutal restructuring. Germany's economy is in a "structural crisis" due to disastrous energy policies (anti-Russia sanctions), rising production costs and collapsing competitiveness.
The European Union's rejection of Russian oil/gas crippled German industry, while China dominates EV sales and U.S. tariffs hurt exports. Analysts warn Volkswagen faces severe cash flow pressures by 2026, forcing cuts to gasoline R&D despite weak EV demand.
The Dresden plant will be repurposed into an AI, robotics and microchip research hub, aligning with the globalist agenda: Centralized control by elites, ...
