Russia and others, move to use Yuan instead of dollar.

[DrBeer]

I'm tired of looking for proofs

https://www.chinabankingnews.com/2022/12/08/chinas-debt-ratio-rises-to-record-high-of-nearly-3-times-gdp-bis-data/
China’s Debt Ratio Rises to Record High of Nearly 3-times GDP: BIS Data
These are domestic loans, and according to the statistics of the situation in the US and Europe, the numbers are also large, but I agree that the US is in a better position.

the total amount of unfulfillable obligations for only 3 leading construction companies amounted to more than 13 trillion dollars.

Compare China's budget with this data. If this data is at the very top of the bubble, then it is wrong.

I even had to learn this shit. Where is Russia here?
https://www.pornhub.com/insights/2022-year-in-review#top-20-countries

1. "Credit to China's non-financial sector totaled $51.87 trillion at the end of the first half of the year, equal to approximately 295% of national GDP, according to data released by BIS on Monday. This is the highest debt-to-GDP ratio for China since the beginning of the registrations in 1995, exceeding the previous peak reached at the end of 2020 by six percentage points" - and how? Is this indicator invisible? I emphasize that these are borrowings that they cannot solve on their own by printing the yuan (this will generally collapse the economy). And we also take into account that it all depends very much on external creditors, technologies and external sales markets ...
Compare with US figures: "In September 2020, the national debt rose to $26.9 trillion. On October 4, 2022, America's gross public debt exceeded $31 trillion for the first time and amounted to $31.12 trillion. Of which, $6.82 trillion is US intragovernmental debt . . another 24.29 trillion - to the public debt.". I think the numbers speak for themselves.
2. About pornhub - excuse me, the topic of the gay movement and around it is not so significant, I somehow didn’t think about it at all before your question I’ll clarify - once I came across in the news feed ... The data is not for 2022, it was about 2017- 2019. If you are very interested in this topic, you will definitely find information

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[pooya87]

It is going to be difficult for them to create a third block out of nowhere, western europe has been aligned with the interests of the US for far too long, so if they decide to try to move away from it then the US will retaliate with some of its economic weapons, after all for politicians there are no eternal friends, just eternal benefits, so the moment the governments of europe decide to take an independent stance that is the moment the US will change they way it treats them too.

The biggest problem for Europe is that the politicians have no backbone, so they have no will for change. Not to mention that US anticipated its European cash cows go rogue so they have been eliminating anybody who thought of independence over the years. Which is the whole political scene in Europe is a mess over the past couple of years with government in England falling apart 3 times in a row, in France with millions protesting against the government, and so on.

[Argoo]

Russia have conflict with European countries and United State, seems they have planning for longer time move to use Yuan instead of using dollar, another good news from south asian or ASEAN zone try to use new payment system and move from dollar to other currency but still in progress not have final decision move from using dollar.

I don't know will bring positive or negative impact if many countries leave using dollar and move to other currencies kinds, however United State will not stop make war or anything else about how their currencies not adopted by many countries payment transaction. For Russia have planning last than one year after European countries suspend Russia due invasion war to Ukraine.

If everything was good with the economy in Russia, then it would use its own ruble in trade relations with other states. But since the Russian ruble has become toxic and no one needs it, Russia has to support the economies of other countries using their national currencies. But Russia does not use the dollar or the euro, not because it does not want to, but because the imposed sanctions and the disconnection of its banking system from the international payment system SWIFT do not allow it to do so.
It is no coincidence that Russia is now demanding to reconnect Rosselkhozbank to the SWIFT system, in exchange for the extension of the "grain agreement" for the export of agricultural products from the ports of Ukraine.

[DrBeer]

I don't understand this. What is the point in using one manipulated fiat currency to replace another one? The only advantage is that China will end up as the major benefactor instead of the United States. Ideally for international trade, a neutral currency should be used and it should not be the national currency of any of the parties who are involved. In case of Chinese Yuan, it is known as one of the most manipulated currencies in the world. Every now and then, the Chinese government devalues the CNY, in order to help the exporters.

Well, you began to understand that the matter here is not simple
Yes, you are absolutely guaranteed to soon understand that this is not a "fight against the dollar" but "saving the Chinese economy" + "Formation of the belt of China's servants."

Believe me - all these BRICS will not affect the dollar in any way. These are countries that have no real influence on the world economy, and are dependent on the West, and primarily on the world economic system, which is based on the dollar as the main international reserve currency.
But China will have a very strong and negative impact on the economies of the countries participating in the BRICS. You will be able to observe this personally in the next few years. But it will be very difficult to escape from the "embrace of China" ...

[Bellarg]

Sounds like good news for any countries exept USA?

[DrBeer]

Sounds like good news for any countries exept USA?

1. Can you explain what is good about this? Tolko with specific examples?

2. And this is what reality looks like
“Friendly” states, following the “unfriendly” ones, refuse to import cash currency into Russia, Dmitry Tulin, First Deputy Chairman of the Central Bank of the Russian Federation, said on Wednesday.
According to him, we are talking, in particular, about the Chinese yuan, whose share in the foreign trade turnover of the economy increased by more than 30 times over the past year.
Although the yuan has become the leader in terms of trading volume on the Moscow Exchange, and China has become Russia's largest trading partner, the Chinese Central Bank, according to Tulin, "does not welcome" the circulation of cash yuan abroad.
As a result, according to the official, the central bank does not have the opportunity to ease restrictions on the withdrawal of cash currency from the accounts of individuals: dollars and euros are prohibited from being imported due to sanctions, and other currencies are also not received.
“Chinese yuan can be obtained in cash… They are not and will not be, and there will be no dollars in cash,” Tulin warned.
He recalls that the Central Bank itself did not impose any bans on the import of currency "cash".
“If someone brings dollars in cash and euros into the country for tens, hundreds of billions ... There are none, there are no restrictions (for import). They are not supplied to us, moreover, friendly or neutral states do not welcome the circulation of their currency in cash abroad, ”the official explained (quoted by Interfax).
The Central Bank of the Russian Federation until September 9 this year extended the restrictions on the withdrawal of cash foreign currency. You can withdraw no more than $10,000 from a foreign currency account or deposit opened before March 9, 2022. The rest of the funds can only be received in rubles.

https://www.moscowtimes.ru/2023/04/05/update-1-vtb-ne-planiruet-vykhod-iz-zernovykh-aktivov-i-ndeksa-nameren-razvivat-raschety-i-roznitsu-a39199

3. Doesn't it bother you that all the hysteria around "abandon the dollar" ends up with stable currencies disappearing from the country's gold reserves, and they are being replaced with beautiful Chinese candy wrappers? Guess what it would be for?

[worldofcoins]

This is what could be referred to in international politics as power tussle in terms of international levels of analysis. Haven such two conflicting countries like China and Russia coming together based on mutual economic interest against a common rival the USA is one that could be very frustrating for the US dollar with the unambiguous leverage and advantage the likes of Russia, China, Iran and Saudi Arabia have come together to give to the Chinese Yuan. With Russia in the forefront bent on the use of the Chinese Yuan instead of the US dollar in their country and in all of it's transactions and trades settlements with Latin America, Africa and Asia countries.
https://www.wsj.com/articles/russia-turns-to-chinas-yuan-in-effort-to-ditch-the-dollar-a8111457

The move by Russia and China to promote the use of the Chinese Yuan in international transactions and settlements is a significant development that could have implications for the US economy and the US dollar.

What does this new development make for the US economy and the US dollar in the coming days and years to come.[/b]
Give your personal opinion on this development!

It's important to note that the US dollar is still the most widely used currency in international trade and finance, and It remains to be seen how this development will impact the US ec

[DrBeer]

The move by Russia and China to promote the use of the Chinese Yuan in international transactions and settlements is a significant development that could have implications for the US economy and the US dollar.

Are we talking about the economy? Then we are talking about the economy of China and Russia
1. There is no Russian economy as such This is about 1% of world GDP. This is about nothing, and the Russian economy cannot have ANY significant or lasting impact on anything.
2. China - the Chinese economy is export-oriented, and completely dependent on 2 entities:
- Western market of consumers and secured currencies coming from them (dollar and euro)
  - Western technologies, thanks to which China is now China

After these facts, you can forget about the attempt to "replace the US / Dollar" with the yuan

PS. Do you seriously not understand what kind of game China is playing with the yuan and why? Do you seriously think that against the DOLLAR?

[Sithara007]

Both are fiat currencies controlled by the central banks of the respective countries. I am not sure whether anyone else other than China will benefit, if CNY is used more for international trade rather than USD. China will be able to take loans at extremely low interest rates, similar to what the USA is doing now. And it is going to benefit their citizens immensely. But then, what is the benefit in this for Russia and other countries? What we need is a "neutral" currency for international trade (i.e one that is not controlled by the central banks of any of the sovereign nations).

[DrBeer]

Both are fiat currencies controlled by the central banks of the respective countries. I am not sure whether anyone else other than China will benefit, if CNY is used more for international trade rather than USD. China will be able to take loans at extremely low interest rates, similar to what the USA is doing now. And it is going to benefit their citizens immensely. But then, what is the benefit in this for Russia and other countries? What we need is a "neutral" currency for international trade (i.e one that is not controlled by the central banks of any of the sovereign nations).

The yuan in international trade is nonsense, such as the ruble in international currency, or the Iranian real, or the Indian rupee, or the Brazilian real ...
The measure of value must have its own value, and the provision of this value ... And how can the listed currencies provide their value?
The answer is simple - at best - RESOURCES. Those. The "cost" of the countries of resource appendages .. And if the appendages ... So the lot of these countries is to use REAL CURRENCIES for international payments. Like dollar, euro, Japanese yen, Swiss franc,...
Dear Sithara007 - do you really not understand what China is doing now? No !? I do not believe ! You are a smart person! You must understand the real goals of the process

[Argoo]

Both are fiat currencies controlled by the central banks of the respective countries. I am not sure whether anyone else other than China will benefit, if CNY is used more for international trade rather than USD. China will be able to take loans at extremely low interest rates, similar to what the USA is doing now. And it is going to benefit their citizens immensely. But then, what is the benefit in this for Russia and other countries? What we need is a "neutral" currency for international trade (i.e one that is not controlled by the central banks of any of the sovereign nations).

Russia's position can be understood: they are trying to use any other currency that is in demand, since in this respect it has big problems with the ruble. But she was forbidden to use the dollar and the euro in international payments. Therefore, they are trying to use the yuan, hoping, moreover, for some help from China. But for other countries, the choice remains the same and it is unlikely that they will change anything in terms of the choice of currency.
  There can be no "neutral" currency for international trade (i.e. one that is not controlled by the central banks of any of the sovereign countries) in principle. Any currency issued by a state or a union of states will necessarily be controlled by them.

[Davian144]

It's understandable that you have reservations about the future adoption of the Chinese currency, the Yuan, in Latin America. The influence of the American Dollar has indeed been significant in the region, and economic policies from the United States have traditionally held sway.

The influence of the US dollar is still very large, especially in its own territory, but that does not mean that other currencies will not have an influence elsewhere because when big business people and big investors start to believe in several currencies other than the dollar, it will also create a bit of competition for each currency that some businessmen and investors will believe in or adopt.

In general, the Yuan is still less popular than the dollar, but it is only a matter of time for the Yuan to become popular and rival the dollar in the world's economic sector. Because according to the news circulating through cnbc.com at the end of April said that the Yuan has fallen about 3% this month because the US dollar strengthened, according to Wind Information. Prolonged Covid control and concerns about China's economic growth have also weakened sentiment towards the yuan.

[indo1]

I think this is related to the conflict between Russia and Europe. they don't want to use dollars as a transaction. well, this is actually an advantage for several eastern countries, even China, whose economy is likely to grow higher. I think that if Russia dominates many industries, it is likely that the yuan will be above the dollar if they continue to use the yuan as a transaction tool. I don't think that's bad either.

[be.open]

To be honest, I don't think the Chinese currency has much future here in Latin America, historically we are under the sphere of influence of the American Dollar and the economic policies taken in Washington. I don't see why Brazil, Colombia, Peru or Chile would adopt the Yuan.

The only realistic candidates for it would be Argentina and Venezuela, since both have had suffered inflation problems to this day an the Yuan is relatively strong. In the case of Venezuela, people prefer to hold Dollars (for the influential aspects I already mentioned) and the government is never serious when they talk about dishing USD in favor of currencies from ally super-powers. I am very skeptical this has some room in Latam.

As far as I understand, China has a rather interesting approach - it offers a country with which it has trade relations to open a bilateral swap in national currencies in an amount that does not exceed the minimum bilateral trade balance. And almost every country benefits because China is still the factory of the world and almost every country buys a lot of Chinese goods. Why not pay for them in your national currency in the amount that China also needs goods from this country? This is a win-win deal, especially if the national currency of the country is subject to fluctuations, as is often the case in Latin American countries.

This approach works well if there is no strong trade imbalance. Because neither China is interested in the excessive accumulation of the unstable national currency of another country, nor the other country is not interested in the excessive accumulation of the Chinese yuan. Thus, China's approach naturally entails the alignment and harmonization of the trade balance between countries within the framework of bilateral trade relations.

ps By the way, bitcoin is potentially well suited for the role of a universal politically neutral compensator of trade imbalances in such a scheme, and perhaps in the future we will see it in this new role for ourselves - a compensator of foreign trade imbalances (sorry for the spoiler for the next episode ).

[panganib999]

This is what could be referred to in international politics as power tussle in terms of international levels of analysis. Haven such two conflicting countries like China and Russia coming together based on mutual economic interest against a common rival the USA is one that could be very frustrating for the US dollar with the unambiguous leverage and advantage the likes of Russia, China, Iran and Saudi Arabia have come together to give to the Chinese Yuan. With Russia in the forefront bent on the use of the Chinese Yuan instead of the US dollar in their country and in all of it's transactions and trades settlements with Latin America, Africa and Asia countries.
https://www.wsj.com/articles/russia-turns-to-chinas-yuan-in-effort-to-ditch-the-dollar-a8111457

What does this new development make for the US economy and the US dollar in the coming days and years to come.
Give your personal opinion on this development!

Could have detrimental effects for sure, including the loss of trust for the USD within the circle of China and Russia, along with their political allies, as well as an economic effect considering this is one more country that's not using the global standard currency. In any case the change from USD to Yuan both have their political and economic reasons. Besides the barring of Swift to make transactions with Russia, as well as the ongoing tensions between Russia and the US-Allied Ukraine, there's also the fact that the USD is constantly bleeding due to hyperinflation, brought by the effects of the overprinting of money no thanks to COVID-19 and the belligerent leadership of Sleepy Joe. If all of this goes on we can say bye-bye to USD and the economy it has built within itself as we know it.

[coupable]

After reading many comments, I clearly noticed that there are actually people who think that the world is able to abandon the use of the dollar, and I mean here the countries that are waging an undeclared economic war against the United States. 
The strength of the dollar is not only in its adoption mainly in commercial exchanges, but also because it derives its strength from the centralization of the dollar in the world.  And as evidence is that those countries that want to get rid of the power of the dollar in their exchanges cannot get rid of their reserves in hard currency, of which the dollar represents the bulk.

[Andrija Branislav]

It is going to be difficult for them to create a third block out of nowhere, western europe has been aligned with the interests of the US for far too long, so if they decide to try to move away from it then the US will retaliate with some of its economic weapons, after all for politicians there are no eternal friends, just eternal benefits, so the moment the governments of europe decide to take an independent stance that is the moment the US will change they way it treats them too.

The biggest problem for Europe is that the politicians have no backbone, so they have no will for change. Not to mention that US anticipated its European cash cows go rogue so they have been eliminating anybody who thought of independence over the years. Which is the whole political scene in Europe is a mess over the past couple of years with government in England falling apart 3 times in a row, in France with millions protesting against the government, and so on.

That's right, on the other hand a significant power struggle in international politics will present new challenges to the US economy which could potentially impact the status of the US dollar as a global reserve currency due to which there is an increasing tendency for countries like Russia to move away from the US dollar in favor of the Yuan. China is increasing.

[DrBeer]

Both are fiat currencies controlled by the central banks of the respective countries. I am not sure whether anyone else other than China will benefit, if CNY is used more for international trade rather than USD. China will be able to take loans at extremely low interest rates, similar to what the USA is doing now. And it is going to benefit their citizens immensely. But then, what is the benefit in this for Russia and other countries? What we need is a "neutral" currency for international trade (i.e one that is not controlled by the central banks of any of the sovereign nations).

Russia's position can be understood: they are trying to use any other currency that is in demand, since in this respect it has big problems with the ruble. But she was forbidden to use the dollar and the euro in international payments. Therefore, they are trying to use the yuan, hoping, moreover, for some help from China. But for other countries, the choice remains the same and it is unlikely that they will change anything in terms of the choice of currency.
  There can be no "neutral" currency for international trade (i.e. one that is not controlled by the central banks of any of the sovereign countries) in principle. Any currency issued by a state or a union of states will necessarily be controlled by them.

Yes, it is, but... Like everything that Russia has been doing in recent years - this is "shooting itself in the knee"... Although objectively already in other parts of the body
From "successes":

- Settlements for oil with India - in Indian rupees. But! You can't exchange them for dollars, you can't return them, you can't buy something useful! Because there are restrictions from India. Best "friend" of Russia
- Settlements for oil with China - for Yuan! Which, by the way, cannot be exchanged for dollars either! And you can only buy a limited group of goods from China on them
- In addition, the Ministry of Finance of Russia officially announced the disappearance of many billions of dollars, which Russia expected to receive as part of the "circumvention of sanctions." Her "partners" received oil and gas, but money... was not paid. Officially. Although it is not excluded that it was simply stolen already on the territory of Russia

[AmoreJaz]

After reading many comments, I clearly noticed that there are actually people who think that the world is able to abandon the use of the dollar, and I mean here the countries that are waging an undeclared economic war against the United States.  
The strength of the dollar is not only in its adoption mainly in commercial exchanges, but also because it derives its strength from the centralization of the dollar in the world.  And as evidence is that those countries that want to get rid of the power of the dollar in their exchanges cannot get rid of their reserves in hard currency, of which the dollar represents the bulk.

that is true, let's be realistic with the world situation. there may be good alternatives, but it will be long before the USD will be replaced by another fiat currency. what you can think of when it comes to crypto is like this - can bitcoin be replaced by another alt anytime soon? i don't think so. how much more of the USD where it has been decades and decades that it is used as the primary reserve for the global economy. i don't know what other people are thinking but should see the bigger picture here.

[Captain Corporate]

People can criticize Russia and China without praising USA, you guys are aware of that right? All I have seen here is people saying either good things about USA and bashing Russia/China duo, or people who deny "allegations" and do the reverse. I am sorry but it is obvious from the start that we are talking about three nations that face trouble. USA with their debt situation and house not being able to pass a simple law, they are doing f-k all right now and they are in shambles and they are terrible, I'll give them this, they have democracy at least, Russia and China definitely doesn't have that, impossible for them to have another ruler for now. So all in all I am guessing that we are looking at bunch of nations whose currencies all will get worse, every single one of them, all have their trouble, all have different reasons, but I wouldn't hold dollars, yuans or rubles as my investment, they will all go down, short them if I would against bitcoin for sure.