awulio:
I live in the USA. 2021 USA almost defaultrd on their debt. Yes it may have been because congress could not agree but they obly paid their debts on the day of... The value of a countries currency used to be determined by the amount of gold reserves but now its based on demand. USA growth rate has significantly decreased over the years. With this year only projected at 2% growth while china is growing at over 6%.

Yes the media says Russia economy is going down but the media also said russia would default today on their debt. Guess what Russia was able to pay their debt using their frozen funds. Russia is also stable because the last time they defaulted on their debt was a 100 years ago.

awulio:
Read the article well. They said they will pay.

Either way as of 2 hours ago both Jp morgan chase and citi bank have made statements saying they have received their money. So you too late.

Also the secretary of the treasury already made a statement to the news and public.

needanswer:


Please drop the news link you found this

awulio:
https://www.google.com/amp/s/www.wsj.com/amp/articles/citigroup-sits-between-russia-and-a-possible-bond-default-11647520737

needanswer:


Emphasis- US never defaulted yet. To default would mean the USD will have to be devalued.

US Economy growth rate has only slowed down a little which is understandable, as the US cuts down on some important sectors of its economy eg stopping of crude oil production in the US. The US is gradually shifting to renewable energy which when completed by 2030 will maintain their status as the number 1 economy.

What news article said Russia was able to pay their debts from frozen asset. Don't you get it? It is frozen like Chelsea Fc. Abramovich won't be getting Chelsea back and so will Russia not be getting their frozen reserves back.

needanswer:


Thanks for sharing. I have read through. The debts are being paid but I didn't find something important there. I also Google searched but nothing yet, maybe when I see it I will tell you.

What I am looking for is this: did Russia pay their debts from frozen foreign reserve or from the foreign reserve in dollars they have access to in China? The source of the dollar payments was not made clear in this article or the others I read. It only mentions that the debts will be paid.

awulio:
No offense dude but I live in USA. A lot of people not me are pissed of right now because the USA treasury secretary said this morning they would let Russia use funds in the frozen account until May. The USA economy is not like it used to be
That's why Jerome Powell had to increase interest rates yesterday. There is still a lot of fighting concerning renewable energy. We not going to move to renewable energy within the next 20 years. USD will fall if Saudi arabia finally decides to trade with yuan for their oil exports to China. Just the news coming out made the usd drop for the day, Look at forex charts. Also china, india and russia signed a deal to trade between each other using yuan/rmb. China is also working with other countries to get them to start trading using yuan.

needanswer:



I still haven't seen any official news article where the following is quoted "USA treasury secretary said this morning they would let Russia use funds in the frozen account until May", only on people's post. This might still be true but I still haven't seen any official news article carry it.

Interest rate increase has to do with post covid19. Those free money the US government gave from the US treasury during lockdown are being collected now through higher interest rates.

The next global currency in demand as a world trading currency is the Euro, not Yuan. You can read about it online.

awulio:
Theres so much evidence you just choosing to ignore all the evidence without oroviding any of your own proof. Attached is a screenshot from the cnn article i sent you that you said you didnt see anything stating usa treasury would allow the payments. China. You seeing it on multiple people's posts that they used the frozen accounts then that should show you that we actually saw it on our news channels today. It was all over american cnn. You do know they show different programs in different countries.

Even if the Euro is the 2nd most wanted currency. Fact still remains China is trying to get countries to stop using the dollar and of right now. Russia and India have agreed to use yuan for certain products. Saudi arabia is also in the final stages of approving to use yuan for certain oil. These are all things you can google. In the next 10 years definitely yuan will be 2nd most wanted currency and maybe close to becoming the first. The world depends too much on china.

Russia's Finance Ministry said that it had made good on the required interest payments due Wednesday on its dollar-denominated bonds, Reuters reports.

That’s after Russia’s finance minister, Anton Siluanov, told state media on Wednesday that the payments might not go through because of U.S. sanctions, the WSJ reported. “We have the money, we paid the payment, now the ball is on the side, first of all, of the American authorities,” Siluanov said, according to the report.

A Europe-based holder of Russia’s dollar bonds told Reuters that some holders of the bonds still hadn’t received the payment.

And the Treasury Department insists that sanctions won’t prevent the funds from being transferred. “U.S. sanctions on Russia do not prohibit Russia from making these debt payments,” a Treasury spokesperson told Axios.

The sanctions targeted Russian banks, and froze a huge chunk of Russia’s foreign currency reserves — so, both its willingness, and ability, to transfer payments to foreign creditors has been in doubt.

What’s next: If the payments aren’t delivered, Russia still has a 30-day grace period before it’s officially considered in default.


https://www.axios.com/russia-bond-payments-sanctions-860cc717-9f56-4963-9517-1d2f53ef34de.html

needanswer:



I modified my earlier post. Guess you didnt refresh to see it. I said I have confirmed the debt is to be paid with the frozen reserve.

As for the second part of what you wrote, Yuan will never be the second most in demand currency for global trade. The war between Russia and Ukraine has opened the eyes of the west on over reliance on any country for supply. Europe and US have started shifting operations to Vietnam. You can read about the gradual exodus of big western companies production from China. China's crises with Taiwan could further accelerate the weakening of the Chinese economy if they choose to invade Taiwan.

Bottom line, it is still USD/EURO domination in the global monetary trade.

MDK777:
WesternerS! Una Go Collect Am WoToWoTo From Lord Puttin! HaHaHa. Some ComedIAn Here Are Saying They DonT Understand What Russians Are Trying To Do Or To Say; MeHN! Una No Go Fit Understand Because Na People We Get Brain They Do Their Doings. Una Be African Focus On Your African WaHaLas And ForGet The Advanced NiGas!

NGpatriot:



The article from RT, a Russian propaganda outlet is tales and half-truth, the sanctions have nothing to do with Russia making debt payments and the lenders receiving their money.

Either they did not pay or they made partial payments, but they have 30 days before making good on their gbese, so we shall see, but this Russian propaganda is just tales and fallacies, they are heading into default regardless, it's just a matter of weeks and months.

awulio:
I'm glad you able to see that Rusisa didn't default. They were too smart for the world.


2ndly attached link 1 shows yuan is now the 3rd global currency . As of August 2021.

https://www.globaltimes.cn/page/202107/1229602.shtml

While America claims chinese yuan is the 4th global currency after surpassing Japanese yen
https://www.bloomberg.com/news/articles/2022-02-17/yuan-s-global-popularity-keeps-rising-with-usage-at-record-high

Also the article stated chinese yen was the only currency to see an increase in use While usd and Euro actually decreased in use.

Also you mention Vietnam. You forgot to include Bangladesh and all poor south east Asian countries. Another thing you forgot to include is that China bought 90% of factories in those countries. So anything being produced in Vietnam or Bangladeshi etc is still chinese.

https://www.google.com/amp/s/www.wsj.com/amp/articles/chinese-manufacturers-sidestep-trade-barriers-by-buying-factories-overseas-11620314120

awulio:
read above. You will see that a lot of proof has already been shown that russia has paid their debt. Even jo morgan chase and citi bank have said they have received their money. Its like you guys were hoping russia would default. Well in the end they didnt

A Europe-based holder of Russia’s dollar bonds told Reuters that some holders of the bonds still hadn’t received the payment.

needanswer:



The US treasury reason for allowing payments of debts was because it was owed to foreign investors. The frozen reserves can ONLY be used to pay debt for foreign debts until May.

While it is third, the news article stated that is makes up about 2.25% of foreign reserves in the world. Meaning more than 97% of foreign reserves are accounted for majorly by USD, followed by EURO, etc. That's a very wide margin.

Of course I can't start to list all other south east Asian countries but you get the point, production is moving from China. USA and Europe owns about half of all major companies in China but while that is the case, the products those companies make still account for the gross GDP of China, hence China is the second largest economy behind the US. IF China owns most of the companies in south east Asia that will only make the GDP of those countries grow while that of China shrinks. That is the problem of out sourcing production.

awulio:
Fact still remains Russia wont be defaulting on their debts anytime soon. America reason is bogus. Werent you the same person saying no one can use the funds in an account thats frozen. Now you saying the reason was becuz its for foreign debts. Why didnt america say that before they froze the accounts or before Russia stated America would pay the creditors no matter what?


2nd yes dollar still accounts for 38% but chinese yuan is the only currency growing and is purpoted to take 2nd place by the year 2030. Go argue with the experts on how they found that number.

Lol you know nothing about China if you think the American companies own half of chinese companies. I see you haven't heard of Tencent or Alibaba or Baidu. Most American companies have branches in China yes but own very little companies in China. Have you read about the CCP? They don't want American companies owning companies in their country. They try to minimize. As I have been learning Chinese for years and immersing myself in their culture. Very few american companies are here.

For example ameican company. walmart almost lost 20% of their value when China threatened to ban them eventhough 90% of Walmart products are made in China. Walmart had to apoease the CCP so that they wouldnt get banned. If china really depended on one of americas biggest companies then why were they so willing to ban them? China doesn't care. Also China's biggest trading partner is now Asean. While America's biggest trading partner is still China. China no longer depends on America for trade, they have found other partners but American still depends on Chinese trade.

NGpatriot:








Read what I posted, some bondholders in Europe are yet to receive anything from Russia, the fact that Chase in the US received theirs doesn't mean the bondholders in Europe received theirs.

The topic and title of this thread are just rubbish and Russian propaganda, it is your job to pay your debt and if you can not, accept the default.

The US did dumb Putin a favor by allowing him to access their sanctioned reserves and avoid default and total collapse of the Russian economy so the side story and tales by the moonlight about the ball being in US court is nothing but rubbish and RT Russian propaganda.

Ode Putin should be thanking the US for the soft landing.

Russia is a poor and imaginary superpower, imagine, a superpower without its own payment system, its own internet system, its own global manufacturing brands, its own TECH, its own jetliner.

Russia is a poor country functioning at the mercy of the West.

Ordinary Visa and Mastercard ban, Putin rant to China to beg for their payment system.

After 3 weeks of war with small Ukrain that it can not even defeat, Putin ran to China to beg for weapons and money, Ukrain did not even have any serious military capacity 3 weeks ago, now small Ukraine already slaughtered 4 Russians Generals.

Russia is grossly overrated, it's just another poor country functioning at the mercy of the West.

awulio:
Fact still remains Russia wont be defaulting on their debts anytime soon. America reason is bogus. Werent you the same person saying no one can use the funds in an account thats frozen. Now you saying the reason was becuz its for foreign debts. Why didnt america say that before they froze the accounts or before Russia stated America would pay the creditors no matter what?


2nd yes dollar still accounts for 38% but chinese yuan is the only currency growing and is purpoted to take 2nd place by the year 2030. Go argue with the experts on how they found that number.

Lol you know nothing about China if you think the American companies own half of chinese companies. I see you haven't heard of Tencent or Alibaba or Baidu. Most American companies have branches in China yes but own very little companies in China. Have you read about the CCP? They don't want American companies owning companies in their country. They try to minimize. As I have been learning Chinese for years and immersing myself in their culture. Very few american companies are here.

For example ameican company. walmart almost lost 20% of their value when China threatened to ban them eventhough 90% of Walmart products are made in China. Walmart had to apoease the CCP so that they wouldnt get banned. If china really depended on one of americas biggest companies then why were they so willing to ban them? China doesn't care. Also China's biggest trading partner is now Asean. While America's biggest trading partner is still China. China no longer depends on America for trade, they have found other partners but American still depends on Chinese trade.

awulio:
Fact still remains Russia wont be defaulting on their debts anytime soon. America reason is bogus. Werent you the same person saying no one can use the funds in an account thats frozen. Now you saying the reason was becuz its for foreign debts. Why didnt america say that before they froze the accounts or before Russia stated America would pay the creditors no matter what?


2nd yes dollar still accounts for 38% but chinese yuan is the only currency growing and is purpoted to take 2nd place by the year 2030. Go argue with the experts on how they found that number.

Lol you know nothing about China if you think the American companies own half of chinese companies. I see you haven't heard of Tencent or Alibaba or Baidu. Most American companies have branches in China yes but own very little companies in China. Have you read about the CCP? They don't want American companies owning companies in their country. They try to minimize. As I have been learning Chinese for years and immersing myself in their culture. Very few american companies are here.

For example ameican company. walmart almost lost 20% of their value when China threatened to ban them eventhough 90% of Walmart products are made in China. Walmart had to apoease the CCP so that they wouldnt get banned. If china really depended on one of americas biggest companies then why were they so willing to ban them? China doesn't care. Also China's biggest trading partner is now Asean. While America's biggest trading partner is still China. China no longer depends on America for trade, they have found other partners but American still depends on Chinese trade.

needanswer:


]


I see you just want to argue. I only quoted the source of the articles you posted. Their reason there was because it is foreign debts, owed to foreign investors.

Yuan as foreign reserve may be growing but will never dwarf that of the USD. The macroeconomic policies of the west against China has guaranteed that.

And lastly I said, US and Europe owns about half of the companies in China. I don't mean Chinese companies, i mean international companies manufacturing in China. It is ease to grabs.

awulio:
No one is arguing with you. Just providing facts to you.


Plus experts say yuan could possible overtake usd but it will be hard. But this article stated that the yuan rose from 12th place to 4th place in terms of global use with 3 years.

https://www.thebalance.com/yuan-reserve-currency-to-global-currency-3970465


For any country to grow like that it means it has potential. The article lists everything china needs to do to overtake dollar. Since 2015 China has already started doing those things that's why they now 4th after jumping from 12th place in the space of 3 years.

Also those American companies and European companies outsource to China but they do not own the manufacturing companies. The CCP won't allow that.

NGpatriot:




Slow down and stop blowing your exhaust pipe over nothing.

China is not stupid and they are not ready to jeopardize, their economic future or suffer collateral damage because of Russia.

The trade volume between China and Russia is measly $140 Billion while it's over $1 Trillion with the West.

Western Europe is China's largest trading partner in the world, not poor Russia that doesn't manufacture anything, it's a poor country with 1 single and undiversified economy, Russia is nothing without oil and gas.

China can do without Russia, but can not survive without the West because its economy and economic survival is closely tied to the West

Look around you, everything is made in the West or Asia, you won't see 1 thing made in Russia..

Btw, the last time I checked, China is enforcing US sanctions against Russia, I mean Chinese state banks under the control of the Chinese president so its actually Putin's friend in China enforcing the ban against Putin.

Your glowing tribute to Putin is not jiving with realities on the ground

needanswer:


Lastly why aren't you in Russia? I travel to Canada once in a while cause I like their policy. You obviously loved Russia, why not base there? Why live in a country you hate?

needanswer:


You are talking about potential. Potential is simply speculation or probability at best but not unchangeable facts. Those potential calculations were made at a time the west were in bed with Chinese manufacturing. Now the world is changing and those potentials may never be realized.

Your last point has nothing to do with what I am talking about.

awulio:
Never said i hate USA. Just because i dispell false narratives by ppl like you on nairaland doesnt mean i hate usa.

awulio:
Lol potential becomes reality. Everything in this world is speculation. We speculating that rusdia economy will fall...We speculated that russia would invade Russia and they did speculations by financial experts can become realities faster than anything you could think of. Speculations have levels. Speculations by a high ranking financial expert holds more weight than from a nairalander.

awulio:
As of 2020 Asean became chinas largest trading partner. China doesn't depend on the west.

http://www.news.cn/english/2021-11/22/c_1310326061.htm#:~:text=%2D%2D%20In%202020%2C%20China%20remained,their%20dialogue%20relations%20in%201991.

Also check the date of that article. It is from February 25th before there was any sanctions on Russia. Next time do research properly. Since that article came out 3 weeks ago. The Chinese finance minister has said countless of times china will support Russia fully economically. That's why Biden is having a meeting with xi tomorrow to try and convince him not to support russia..One thing you forget is that China fully supports Russia that's why Russia told China in advance they would invade Ukraine and China told Russia to invade after the Olympics. Plus China wants Russia help in taking control of Taiwan. Once Russia is done with Ukraine, they will help China with Taiwan. That's why Russia and China have been doing joint military drills.
Many American strategiests have said the worse thing to happen to America is if Russia and China join forces. Americans never thought it would happen but it has finally happened.

awulio:
If you were actually basing your information on facts instead of emotions maybe I would value your opinion but you not.

As of right now everyone has been paid. According to Fitch ratings everyone was paid. America did not grant them a soft landing. By Russia telling usa the ball is in their court they let their creditors know that the money was available but America was trying to cause an artificial default. An artificial default would not hurt Russia but would hurt America more that's why they unfrooze the accounts for foriegn payments to debtors until May. You call a country with the 11th highest GDP in the world poor? While you live in a country with less than half of the gdp of russia. Russia has very little debt compared to the rest of the world and is considered one of the stables economies.

Also russia,China and India already created their own payment system that they were getting set up. Russia doesn't depend too much on the west anymore.

Also concerning the war in Ukraine. Have you see Russia use any of their modern equipment ? No you haven't. Russia has not and will not use any of their modern equipment. It took America 90 days to fully control Afghanistan but you calling Russia weak after 21 days because they haven't fully captured Ukraine. Russia has tried to minimize the amount of people killed that's why they have been progressing slowly. While America killed over a million ppl before they conquered Afghanistan. The biggest bomb ever used was created by Russia. The Tsar bomber. It was so strong that America and European countries begged Russia to stop making it. You should read about it. If rusisa wanted to take Ukraine they could in a weak but that would require them to destroy it and kill millions of people. Even American defense teams are saying Russia is using weapons from the soviet era and not modern weapons. Russias first division soldiers aren't even in Ukraine. Why is it they didn't send their vest soldiers?