Putin calls for a decentralised international financial system for global stability

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25th May 2023 – (Moscow) Russian President Vladimir Putin has called for a shift towards a decentralised global financial system, stating that it would be beneficial for the global economy. Speaking at the plenary session of the second Eurasian Economic Forum in Moscow on Wednesday, Putin highlighted that many rapidly developing economies are already moving towards using their national currencies in international settlements.

Putin emphasised the importance of coordinating joint efforts to create a new decentralised global financial system. He believes that such a system would make the world economy less dependent on crisis phenomena in countries holding global reserve currencies and would make payments more secure.

According to Putin, the world is undergoing fundamental changes, and the theme of this year’s forum, “Eurasian integration in a multipolar world,” is highly relevant. Many countries are currently working on strengthening their national sovereignty, pursuing independent domestic and foreign policies, and advocating for building a new, more just global system of economic relations.

A shift towards a decentralised international financial system would bring stability and benefit the global economy, according to Putin. He believes that a more decentralised financial system would make the world economy less vulnerable to crisis phenomena and would be more secure for payments. Putin’s comments come amid increasing calls to reform the current global financial system, which has been criticised for being too centralised and dominated by a few countries.

The second Eurasian Economic Forum, held in Moscow on Wednesday and Thursday, aims to promote economic cooperation and integration between Eurasian countries. The forum provides a platform for discussions on issues related to economic development, trade, and investment in the region.

Putin’s call for a decentralised international financial system is not new, as Russia has been advocating for a more diversified global financial architecture for years. The country has long sought to reduce its reliance on the US dollar in international trade, particularly since the imposition of Western sanctions over Russia’s annexation of Crimea in 2014.