Can national currencies reduce dollar dominance
The article discusses Russia's efforts to improve the independence of its international payment system. The Chairman of the Board of BPS Bank emphasizes that abandoning the dollar does not solve the problem of reliance on external financial infrastructure. It points out that dependence on stablecoins remains largely tied to the dollar, despite their use as a quick means of transferring value. The article also highlights that the world is moving toward national and regional payment systems that are developing digital financial tools, including central bank digital currencies, aimed at reducing reliance on systems like SWIFT. Additionally, it explains that Russia has launched an independent local payment system called "A7" to bypass sanctions imposed on it. Countries like Indonesia and Brazil are also working on developing independent alternatives amid increasing competition for reliable payment tools—especially considering the global financial developments and the growing importance of digital solutions in international trade.
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