Is the world ready to dethrone the dollar? Expert weighs in on de-dollarization movement.

Is the World Moving Away from using the Dollar as the Global Reserve Currency?

The Desire for De-Dollarization

There has been a lot of buzz surrounding the possibility of “de-dollarization,” which suggests that the world might shift away from the dollar as the go-to global reserve currency. The desire for this change is based on a few factors. Firstly, the Federal Reserve has raised rates at an unprecedented speed, putting economic pressure on other countries that are linked to the dollar and US trade. Secondly, the sanctions imposed on Russia have made many nations more cautious about relying on US financial assets and infrastructure. Lastly, BRICS countries (Brazil, Russia, India, China, and South Africa) are increasingly keen on breaking away from the dollar’s dominant position.

Will There be a Repeat of History?

Previous efforts of this nature have not caused much change to the dollar’s unique status, prompting the question: will it be different this time? In this episode, we speak with Paul McNamara, a veteran of emerging markets and investment director at GAM. He discusses the renewed drive for de-dollarization and what’s behind it.

To conclude, de-dollarization is a hot topic globally, and the implications of moving away from the dollar as a standard reserve currency are significant.