A “co-operative multilateral international financial system” to end “excessive reliance on a single central currency”, the dollar, was voiced during a banquet at the Bank of France by Governor François Villeroua de Gallo.
According to the financial newspaper Les Échos, the issue is in the news due to the risks involved and in order to avoid the transition from a system of domination of the dollar to a conflicting “non-system”, which according to the head of the Bank of France “would cause instability, creating the risk of leakage from one currency to another “. Something reminiscent of the competitive devaluations of the dollar and the pound between the two world wars, which resulted in chronic instability, the newspaper notes.
“We are on the brink of a major economic crisis,” said Bernard Snow, a professor at the University of Leuven in Belgium.
Emerging countries are not opposed to such a reform, especially since Western sanctions against Russia “pose a very big risk” to countries like China, said Andrew Sheg, former head of the Hong Kong Financial Markets Regulatory Authority. .