Russian President Vladimir Putin has said that traditional reserve currencies such as the US dollar and the euro have lost their credibility as a basis of international exchange.
“The West has destroyed the foundations of the global financial system. “There is a loss of confidence in currencies such as the dollar, euro and pound sterling for conducting transactions, holding assets and holding reserves,” he said at the 7th annual Eastern Economic Forum in Vladivostok.
He also noted that this trend is forcing Russia and many other countries to switch to other currencies, especially the Chinese yuan.
“We are gradually moving away from the use of these unreliable and uncompromised currencies. Statistically, even US allies are gradually reducing their savings and payments, and I will note that yesterday Gazprom and its Chinese partners agreed to pay for gas in rubles and yuan in a 50/50 split. Putin said.
