Russia Huge Foreign Currency Reserves: Advantages Or Risks ‘evaporation’?

Russia is proud of the highest level of gold and foreign currency reserves of all time, but this has a huge risk for the economy. Russia said, as of September 1, 2021 Gold and foreign currencies have amounted to 618.2 billion USD, if adding the Russian National Finance (NWF), the total size of the country will soon reach a huge number of 1 trillion USD. Now economists say a lot about where money should be invested, because the basic rule of the economy is the cash flow to advocate. However, the Russian Federal Government and the Central Bank do not want to spend but focus on increasing their reserves

. So what will happen if all Russian reserves are unexpectedly exhausted for the work External verbs, this will obviously be a disaster. Currently in Russian foreign exchange reserves are expressed in foreign currencies, gold, as well as special withdrawal rights (SDR) that the International Monetary Fund (IMF) Has poured a generous way. If before that Russia is mainly reserved in the dollar, the proportion of the euro, the yuan and the precious metal has increased sharply, but except the relatively safe gold, other foreign currencies Bring Moskva quite a lot of risks
First is the euro, the European currency unit is very safe but the reality is the same? European Union as a economic block and on it has a structure The political - military is NATO. Right now, serious problems can be seen in unity and opposition. First, he officially left the EU, which caused significant economic losses to the whole block. At the same time, Washington, London and Canberra established the Aukus Military Union, they absolutely did not pay attention to the remaining European countries. Magic, the country lost a lot of dollar submarine contract because Aukus began to talk about Leaving NATO. Although the perspective is quite far away, the risk is real from another factor. For Paris and Berlin, the establishment of their own military alliance and the unified European army seems to be a reasonable solution Best. This is an objective consolidation process and does not depend on the dominance of a country outside Europe like the United States. Other, significant changes are happening in the European economy when Poland is supported America has challenged EU by placing national laws up before the block.Warsaw is still not ready to leave the EU like him, negotiating being conducted
But if they succeed, all South Eastern countries will definitely want to speak Polish Mirror. For a European seemingly unified. If so then what will happen to the euro: There will be a unique currency, which countries will use it, whether or not it is wiped out Which countries are data that must take into account. A other controversial policy of the Russian Ministry of Finance is the proportion of yuan in international reserves increasing a lot. That seems right because China is one of the top two economic powers and Moskva is building a friendship relationship with this country. Need to note Beijing is devalued its money to preserve its money Beneficial for manufacturers and exporters. This leads to a decrease in Russian yuan reserves, and this is not all possible problems. Chinese economic surrounds are rated on the ground legs lighting. It should be repeated that the US economic crisis in 2008 began with the collapse of Lehman Brothers, now Beijing is at risk of encountering similar problems. Chinese Evergrande Real Estate Group has pursued a major Investment books are quite adventurous and they have to pay the price by having to declare bankruptcy. Information about Evergrande issues has led to instability in the financial market, because of the risk of bankruptcy with the loss A large number of related suppliers and loans. Evergrande will have to be rescued, because if the Domino effect may occur for the entire Chinese economy. However, there are still many other "bombs" ready to explode anytime. Next, it should be noted that China is understood from the US. The conflicts can be taken as a reason to impose extensive international sanctions for Beijing. People can imagine what will happen to the country's currency that the West is trying remove. Nothing is really sure but the risk with Russia is obviously huge when strengthening the reserve of the money mentioned above. Finally, Russia's dollar reserves may be at risk. Washington prohibits Russian banks paid in USD through agent accounts with US financial and credit institutions to be a very strong blow. It is notable that the leading economic powers like the US, Britain or Germany are not found How to create the world's largest reserve, although they can afford to do so. Inside, they to capital for their activities, this may be a way that the Russian central bank needs to study in soy Lai.Viet Dung

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