NOURNEWS - The acceleration of the removal of the dollar from the world's trade exchanges has drawn strong criticism from the top political officials of the United States.
The continuation of this trend, in addition to reducing the effectiveness of the dollar in economic, regional and international exchanges, will also lead to a decrease in the dominance of the West over the global economy.
The process of "departing the dollar from trade exchanges" has now become one of the main issues of the world's largest economies and has introduced new risks to the United States banking system.
Substitution of other strong currencies in the gradually growing financial settlement could minimize the dominance of the dollar in the global market in the medium term.
US Secretary of Treasury, Janet Yellen recently admitted that the dollar's role as the world's reserve currency is diminishing as Washington uses it as leverage on the global financial system to pursue its goals through sanctions.
In the global dimension, the diminution and elimination of the dollar, which puts a lot of economic pressure on Western countries, gives Europe an opportunity to make its exchanges with the Euro.
According to the head of the capital management company based in London, the rate of decline of the dollar's share in the world's foreign exchange reserves last year, has increased 10 times compared to the previous two decades.
Turning their backs on the global currency of the dollar in trade exchanges continues, while in the latest development in this regard, Argentina has also entered into a currency swap agreement with China based on replacing the yuan instead of the dollar.
On the other hand, in the Southeast Asian Economic Union known as ASEAN, the members of this group are looking to avoid the dollar and euro from their transactions in order to avoid geopolitical tensions.
Earlier, the BRICS member countries consisting of Brazil, Russia, India, China and South Africa also announced that they are working on a common payment network to remove the dollar and the Western financial system from their exchanges.
Last month, Brazil and China signed a trade agreement with their national currencies. It seems that China, as the second largest economy in the world, is trying to face a serious challenge to the dollar in trade exchanges between the countries of the world.
In March, the Chinese yuan became the most used currency for cross-border transactions, surpassing the US dollar for the first time.
India has also adopted new policies to exclude the dollar from its trade exchanges and pursues its trade relations with Russia using rubles and rupees.
In Russia, the use of the yuan currency continues on a wider level, not only with China, but also with African and Latin American countries.
While the advanced and developing economies in the world are gradually removing the dollar from their business transactions, the US is still trying to achieve its unilateral political goals by using the dollar tool and by imposing economic sanctions on various countries.
Economic experts believe that this trend increases the motivation of different countries to distance themselves from the dollar.
Although due to the significant dominance of the dollar on the global economy, it cannot be expected that the role of the dollar in economic exchanges will be eliminated in the short term, but the prospect of the decline of the kingdom of this currency, which has been used as a deadly and inhumane weapon for years in a way that become Washington's main tool for exerting political will on independent countries, is completely clear and achievable.
BY: Pooya Mirzaei
NOURNEWS