CoinWorldNews Report:
Vladimir Putin has just admitted to the reality he has been fighting against. Despite the efforts of BRICS countries to escape the control of the US dollar, it remains the most powerful tool in the global financial system.
At the annual summit held in Kazan, Putin pointed out that the United States has been using the dollar as a political weapon to punish countries that do not comply with its rules. In his own words:
“The dollar is being used as a weapon. We are indeed aware of this reality. I believe those who engage in such practices have made a grave mistake.”
The Russian President argued that the US has harmed Russia through unilateral sanctions and jeopardized the fiscal independence of any country that could become a victim of such actions.
Russia and China abandoning the dollar
Russia and China have taken significant steps to reduce their dependence on the dollar. According to Putin, currently about 95% of trade between the two countries is conducted using the Russian ruble and the Chinese yuan.
By doing so, Russia and China are trying to break free from the Western-dominated financial system, which Putin has been actively promoting. He hopes to expand this effort beyond himself and China.
Putin called on BRICS countries to seek alternatives to the traditional Western financial network, such as the Swift system. He told world leaders:
“It’s not us who refuse to use the dollar. But if they don’t let us work, what can we do? We are forced to look for alternatives.”
BRICS countries and the new global payment system
Putin also proposed the development of a new BRICS investment platform aimed at promoting economic cooperation among member countries and providing financial resources for developing countries in the global south.
He believes that this platform will become a powerful tool to support the BRICS economies. However, not everyone agrees with Putin’s idea. Some BRICS members, namely Brazil and India, have expressed concerns.
They are worried that the EU, dominated by China, could become an anti-Western alliance, which could damage their relationship with the United States.
Meanwhile, at the summit, Putin rolled out the red carpet for leaders interested in breaking free from US financial dominance. These leaders include Turkish President Recep Tayyip Erdogan.
Erdogan’s attendance is significant as he is the only NATO leader attending the summit. It is well known that he likes to refer to Putin as “dear friend,” which has not always pleased his NATO allies, but Erdogan seems determined to maintain strong relations with both Russia and the West.
For Putin, this indicates that despite the West’s attempts to isolate Russia after the invasion of Ukraine, the Kremlin is far from being a global outcast.
Meanwhile, there are reports that North Korea has sent troops to support Russia in its war efforts in Ukraine. Considering that Russia has joined sanctions against North Korea to hinder its nuclear ambitions, this alliance is surprising.
This only goes to show the extent to which Putin is willing to seek support from different countries in the face of global opposition. Just a few months ago, he was seen driving with North Korea’s supreme leader, Kim Jong-un.
Are India and China repairing relations?
Another notable example is the summit between India and China. The two leaders have not held formal talks for over five years, but this summit provided a platform for them to reach agreements on important issues.
Xi emphasized that cooperation between China and India is in line with the interests of both countries, and Modi also believed that maintaining peace and stability along the disputed border should be the top priority.
They talked about the necessity of mutual trust and respect, indicating that both countries are willing to repair relations, which will make Putin’s mission much easier.
