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Lavrov supports Trump on US sanctions weakening dollar’s global status

Lavrov supports Trump on US sanctions weakening dollar’s global status

GrafaGrafa2024/09/23 04:40
By:Liezl Gambe

Russian Foreign Minister Sergey Lavrov has aligned with former U.S. President Donald Trump’s stance on the negative impact of U.S. sanctions on the dollar and the American economy. 

Lavrov agreed with Trump’s claims that the Biden administration’s sanctions have harmed the dollar’s role as a global reserve currency. 

He further commented on the growing global shift towards dedollarisation, led by countries like China and Russia, as many nations seek to minimise their reliance on the U.S. dollar in international trade. 

Lavrov made his statements during a discussion where he referenced Trump’s remarks, stating, "I agree with him ... because the overwhelming majority of countries are already cautious about any operations in the global economy where they will depend on the dollar." 

He emphasised that while the dollar still plays a critical role in global trade, there is rising awareness of the risks involved in over-reliance on the currency. 

Trump has frequently spoken out about the Biden administration’s economic policies, linking them to a weakening of the U.S. economy. 

At a recent rally in Wisconsin, Trump warned that U.S. sanctions and the overuse of the dollar as a global reserve currency were damaging America’s economic strength. 

He pointed out that these policies could contribute to inflation and broader economic instability. 

The conversation surrounding dedollarisation has intensified, particularly among members of the BRICS economic bloc, which includes Brazil, Russia, India, China, and South Africa. 

These countries have been advocating for trade settlements in local currencies, aiming to reduce dependence on the dollar. 

This shift has gained traction as nations seek to shield themselves from the impact of U.S. sanctions. 

Lavrov acknowledged that, while the dollar remains dominant, a gradual transition towards national currencies in global trade is underway. 

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