Moscow/Washington: Russian President Vladimir Putin claimed, ‘The Use of the US dollar, ever since it became operational as the international currency, is being made to pressurise the world. Therefore, the world is losing faith in the US dollar.’ At the same time, Putin warned that the campaigns initiated by the United States against the Chinese company Huawei and the Nord Stream 2 pipeline, are a part of economic dacoity and these can give rise to never-ending conflicts.
Chinese President, Xi Jinping is currently on a visit to Russia and has signed various agreements with Russia, to increase economic and trade cooperation. This increasing cooperation between China and Russia is considered to be a part of the efforts, to reduce the influence of the United States, at the international level. The United States has imposed multiple sanctions against Russia and China, and the US-China trade war has currently become a cause for concern, for the global economy. In this scenario, China is taking rapid steps to counter the United States, joining hands with Russia.
Since the last few years, both these countries have started purchasing Gold on a large scale, and attempts are being made to introduce an international currency backed by Gold. To convert these efforts a reality, both these countries have signed bilateral currency related agreements and have started reducing the US dollar exposure. Against this background, Russian President Putin has given indications of a parallel system, raising questions regarding the credibility of the US dollar.
Last year, Putin had made statements regarding the US dollar in a function held in the Russian capital of Moscow. The Russian President had said ‘Many global economies are trying to find an alternative currency, owing to the instability of the US dollar and moves to create a transaction system, without the US dollar, are already underway.’ Reiterating this in the International Economic Forum, he endorsed his statement regarding building an alternative transaction system.
While criticising the USD, President Putin attacked the US activities against Russia and China. Putin Claimed that campaigns initiated by the United States against the Chinese company Huawei and the Nord Stream 2 pipeline, are a part of economic dacoity. Putin warned that these actions would result in a never-ending conflict, along with the trade war.