Russia dedollarize the economy, what the consequences and risks

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The government of Russia prepares the project of de-dollarization of the economy. Participate in the discussion of the CBR, VTB and other major banks and exporters. Of any restrictive or prohibitive measures of speech the government developed a project goes. The main goal pursued by the government — transfer payments to the largest trading partners of Russia — EU-China in the yuan and the Euro, and the EEU countries — in rubles.
These measures, of course, correct, but somewhat belated. The status of the dollar as the world reserve currency they do not threaten, but definitely would protect Russian exports and imports from the us sanctions. Directly with the United States, the Russian Federation sells very little. Americans have other ACE – high proportion of their funds in OFZ and equity of Russian companies, primarily in the “savings Bank”. The rise in fed rates will contribute to capital outflow from the Russian financial market without any policy. It was a very bad time for emerging markets.
There is another very important point. Ruble payments were unlikely Minsk and Astana. The ruble is too weak and volatile currency. The right choice is a supranational currency Altyn. Analog Euro. Germany at the time abandoned the brand in favor of the Euro and it has paid off. This is what was discussed during the creation of the Eurasian Union in Kazakhstan in the already distant year of 2014.
For the first time the idea of a supranational currency was proposed by President of Kazakhstan Nursultan Nazarbayev 1994, but it has not lost relevance to this day. The economy of the Russian Federation and Kazakhstan are close. The economy of Belarus other structure, but it is too small to have a major impact. The new currency will be very similar to the tenge and the Russian ruble.
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Alexander Razuvayev,
The Director of analytical Department,
Alpari