The Kremlin to Pitch One World Reserve Currency

The upcoming G20 summit will be held in London on April 2, and according to The Moscow Times, that's when the Kremlin is supposedly going to to join the One World Paper Talk, to pitch a supranational reserve currency to be issued by international private institutions as part of a reform (change:) of the global financial system.

"The International Monetary Fund should investigate the possible creation of a new reserve currency, widening the list of reserve currencies or using its already existing Special Drawing Rights, or SDRs, as a "superreserve currency accepted by the whole of the international community," the Kremlin said in a statement issued on its web site.

The SDR is an international reserve asset, created by the IMF in 1969 to supplement the existing official reserves of member countries.

The Kremlin also called for national banks and international financial institutions to diversify their foreign currency reserves. It said the global financial system should be restructured to prevent future crises and proposed holding an international conference after the G20 summit to adopt conventions on a new global financial structure. The Kremlin ain't fond of the dollar and has lowered its own dollar holdings in the last few years. Both President Dmitry Medvedev and Prime Minister Vladimir Putin have repeatedly called for the ruble to be used as a regional reserve currency, although the idea has received little support outside of Russia.

Read the whole article here

Custom Search