As the US dollar has raised interest rates several times this year, more and more countries have chosen to " dollar-based ", and even South American countries that the United States regards as their backyard are ready to move.
At the beginning of this month, Argentina officially launched the RMB clearing bank service in the capital Buenos Aires . What does this mean? Previously, the cooperation between China and Arab countries was settled in US dollars, and a certain fee was required to exchange the local currency for US dollars. After the RMB clearing bank service was launched, enterprises and financial institutions from China and Arab countries can directly use RMB for cross-border transactions. Argentina, regarded as the backyard of the United States, abandoned the US dollar and chose the RMB, which is undoubtedly bad news for the United States.
is a coincidence. Another international organization may be considering using RMB settlement. If this organization initiates RMB settlement, it will undoubtedly be a shocking news for the United States, and the hegemony of the US dollar may be loosened.
A recent press release published on the homepage of the official website of the Chinese Consulate General in Dubai suddenly stirred the nerves of some American and European media.
The first China and Arab countries summit will be held in Saudi in early December. In addition, there are reports that China's top leader may visit Saudi Arabia at the same time. China and Arab countries will strengthen communication and cooperation on issues such as economy, trade, energy, and cross-border RMB settlement...
Bloomberg reporter "suddenly Lenovo" in the report, saying that some news has begun to appear in March this year, indicating that China and Saudi Arabia have resumed discussions and are interested in finalizing the "efficiency settlement mechanism for oil transactions in RMB". Obviously, they believe that RMB settlement will also become one of the topics of the first China-Arab Summit.
Arab States Summit, namely the Arab States Alliance Summit.
On March 22, 1945, representatives of Egypt , Iraq , Jordan , Lebanon, Saudi Arabia , Syria and Yemen 7 Arab countries held a meeting in Cairo , passed the "Affiliated Arab States Treaty", and declared the establishment of the alliance. So far, there are 22 member states. Almost all Middle East countries plus North Africa most countries, and these countries basically include major oil-producing countries. If they can directly reach a RMB settlement agreement with the Arab League, it will undoubtedly take a big step for the RMB International.
"Bloomberg also expressed concerns: this change will seriously weaken the dominance of the US dollar. And once Saudi Arabia switches to RMB settlement, it will have a "demonstration effect" on more Middle Eastern countries. Although the US dollar as a global reserve currency has an absolute dominant position, the international community's "de-dollarization" has become a general trend.
Although the US dollar occupies an absolute dominant position as a global reserve currency, the international community's "de-dollarization" has become a general trend.
After the outbreak of the Russian-Ukrainian conflict, under the sanctions of Western countries, Russia raised its arm and issued the " ruble settlement order", and expanded the scope of goods settled in rubles to crude oil products, and then expanded the payment scope to all commodities and directly began to compete with the US dollar.
July this year India has also launched its own rupee settlement order. Although it is suspected of resolving the crisis, it also counterattacked the US dollar.
On November 24, Ghanaian Vice President Bavumia announced that it would use gold reserve instead of US dollars to purchase oil products. Even small African countries have started de-dollarization. Obviously, de-dollarization is the general trend.
, especially this year, the US dollar has started a crazy interest rate hike mode. In 2022, the Federal Reserve has raised interest rates five times, in March, May, June, July and September. The previous three interest rate hikes were 0.25%, 0.5%, and 0.75%, respectively. Currently, the interest rate hikes are 1.5%-1.75%. In December, the Federal Reserve will also conduct the sixth interest rate hike. By the end of this year, the interest rate will reach 3.4%. Faced with the return of the US dollar, developing countries are "fleece" and "bottlenecks" by the US dollar.
Arsenal all belong to developing countries and are in danger under the harvest of the US dollar. Obviously, in order to avoid repeating the mistakes of Sri Lanka, it is necessary to de-dollarize it.
Not only that, these countries have a single source of income, and oil is the pillar industry of most countries. In order to combat sanctions and crack down on Russia, the United States requires the OPEC countries led by Saudi Arabia to reduce oil production. Once the production cuts will be reduced, and then the US dollar will harvest, countries with fragile economies will go bankrupt. This move is obviously to harm the interests of Arab League countries. Moreover, the G7 countries led by the United States are seeking to set an upper limit on Russian oil prices, which seems to be dealing with Russia. Once the precedent is opened, the mechanism can be formed and the spearhead can be pointed at any time. The Arab League obviously feels the crisis, so it really wants to attract Chinese forces to compete with the United States.
