Russian President Putin: The US Dollar Used as a Weapon in Political Struggle | BRICS | Politics
On the 26th local time in St. Petersburg, Russian President Putin met with the President of the New Development Bank of the BRICS, Rousseff, and stated that in the current international finance, the United States and the West use the US dollar as a weapon of political struggle, so it is necessary to establish an alternative financial order.
Putin emphasized that the BRICS countries cooperate for the common interests of their members, and currently, more and more BRICS members are using their own currencies for settlement.
According to data from the International Monetary Fund, as of the fourth quarter of 2022, the proportion of the US dollar in central bank foreign exchange reserves has dropped to 58.36%, the lowest level since data records began in 1995. The proportion of the US dollar in the global payment system has gradually decreased in recent years.
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For a long time, the United States has abused the hegemony of the US dollar, exacerbating global economic risks. Since the start of this interest rate hike cycle in March 2022, the Federal Reserve has raised interest rates 11 times, leading to a sharp appreciation of the US dollar, causing many countries to depreciate their currencies, capital outflows, increase debt service costs, and exacerbate imported inflation.