Lavrov: US undermining dollar's long-term status

Friday, 19. April 2019 10:36

Russian Foreign Minister Sergey Lavrov claimed on Friday that the United States is putting the long-term status of the US dollar in jeopardy by abusing the currency in the short term. He also accused Washington of blocking business cooperation between the two countries for political reasons, and noted US opposition to the Nord Stream 2 gas pipeline project as an example.

Last October, Russian President Vladimir Putin voiced support for the so-called "dedollarization" plan designed to limit Russia's exposure to future United States sanctions by moving away from transacting in the US currency internationally. According to the plan, Russian companies would do business internationally using roubles, euros and Chinese renminbi instead of the dollar, even though they wouldn't completely abandon the US currency.

Earlier this year, Russia transferred around $100 billion into the Japanese yen, Chinese yuan and the euro, bringing its dollar reserves down from 46% to 22%.

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Breaking the News / FH