Russia does not want to abandon the dollar as a reserve currency or a means of payment – Putin – Business & Economics
ST. PETERSBURG, June 5. / TASS /. Russia does not intend to completely abandon the dollar as a reserve currency or as a universal means of payment, President Vladimir Putin said on Friday. He was speaking at a meeting with heads of global news agencies, hosted by TASS.
“If you heard me say something about the dollar, and understood that we want to get rid of it as a reserve currency or as a universal means of payment, you don’t. I was talking about something else. I was talking about the fact that the United States uses the dollar, uses its national currency for various types of sanctions, ”said the Russian leader.
As an example, he referred to the situation where Russia cannot make dollar payments with partners in military-technical cooperation due to US sanctions.
According to Putin, Russia is forced to switch to settlements in other currencies because of the “practical nature” of the US sanctions.
“They are forcing us, our American partners. We are not backing down on purpose. [from the dollar], we are obligated to do so. But when we do that, a certain system of our financial relationship with a partner is formed. Already outside the dollar zone, “said the Russian president.
Putin added that by such actions, the US authorities are mainly harming themselves.
“Why are the political authorities in the United States doing this? They cut the branch they are sitting on. In the end, they will fall. Everyone sees it in the world. And the question of the reliability of dollar settlements arises. Consequently, foreign exchange reserves in dollars are reduced. Not just here, pretty much all over the world, including the United States itself. The volume of dollar settlements is declining, ”Putin said.
The Russian president also drew attention to the fact that the current situation may eventually force energy companies to abandon the US currency in their regulations, which will seriously affect the dollar’s position in the world. Putin said that “some of our companies, for example, in the oil sector, have national currency volatility and do not want to leave the dollar today”, but they can be put in conditions where they do not have other choice. “It will already be a blow to the dollar as the world’s reserve currency,” he said.