Dedollarization of the Global Economy: Trends and Perspectives
DOI: 10.33917/es-4.190.2023.40-47
The quantitative indicators of dedollarization in the global economy are given. It is revealed that in the short-term the measures to abandon the U.S. dollar may have a limited impact on the global foreign exchange market, but in the longer-term the demand for the U.S. dollar may weaken. The implementation of transactions directly by countries on a bilateral basis using national currencies will thus make the global foreign exchange market more balanced. It is found that the development of dedollarization process is influenced by three major factors: the U.S. dollar’s usage as an instrument of sanctions pressure; the strengthening of the U.S. dollar; the emergence of new technological innovations. The article concludes that the development of dedollarization process along with the creation of new international payments mechanisms in the middle-term will continue to reduce the role of the U.S. dollar in the modern international monetary and financial system.
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