Ant Book

Main Menu

  • Home
  • Eu Fragmentation
  • Home Asset Bias
  • Money Market Accounts
  • Private Equity Funds
  • Finance

Ant Book

Header Banner

Ant Book

  • Home
  • Eu Fragmentation
  • Home Asset Bias
  • Money Market Accounts
  • Private Equity Funds
  • Finance
Eu Fragmentation
Home›Eu Fragmentation›IMF warns Russia sanctions threaten to undo dollar dominance

IMF warns Russia sanctions threaten to undo dollar dominance

By Joanne Monty
March 31, 2022
0
0
Financial sanctions imposed on Russia threaten to gradually dilute the dominance of the US dollar and could lead to a more fragmented international monetary system, Gita Gopinath, first deputy managing director of the IMF, told the Financial Times.

Russia was hit with a plethora of sanctions from the United States and its allies for its invasion of Ukraine in late February. Russia called the invasion a “special operation” to disarm its neighbor.

“The dollar would remain the main global currency even in this landscape, but fragmentation at a lower level is certainly quite possible,” Gopinath told the newspaper in an interview, adding that some countries are already renegotiating the currency in which they are paid for the trade.

She said the war will also boost the adoption of digital finance, from cryptocurrencies to stablecoins and central bank digital currencies.

The IMF did not immediately respond to a request for comment from Reuters.

Gopinath told the FT that the increased use of other currencies in global trade would lead to greater diversification of reserve assets held by national central banks.

She had previously said that sanctions against Russia did not herald the demise of the dollar as a reserve currency and that war in Ukraine would slow global economic growth but not cause a global recession.

Read the original article here

Disclaimer! Verve Times is an automatic aggregator of all the media in the world. In each content, the hyperlink to the main source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the content owner and do not want us to publish your materials, please contact us by email – [email protected]. Content will be deleted within 24 hours.

Related posts:

  1. Will COVID-19 set off a reform of the EU’s Schengen space with out borders?
  2. ‘Local weather change is a risk to nationwide growth,’ says EU ambassador – International Instances Information
  3. Laying the foundations for a clean multimodal journey by Europe
  4. Monetary jobs proceed to depart UK throughout Brexit

Categories

  • Eu Fragmentation
  • Finance
  • Home Asset Bias
  • Money Market Accounts
  • Private Equity Funds

Recent Posts

  • Germany’s digital health efforts are failing. Is a Lauterbach strategy the ticket? – POLITICS
  • Stealth privatization of Medicare is a boon for Wall Street
  • EU media freedom law must be strengthened – EURACTIV.com
  • OncoHealth secures strategic investments from Arsenal Capital Partners and McKesson Corporation
  • An assessment of China’s monetary and financial data in the first quarter
  • Terms and Conditions
  • Privacy Policy