Although the U.S. dollar is gradually losing its strength, it is still premature to speak of a significant decrease in its influence, Director of the Analysis and Research Department of Raiffeisen Bank Aval Dmytro Solohub told Kyiv Weekly.
“At the moment there is no real alternative to the current regime of currency exchange rates. No other currency or commodity (such as gold, for example) will be able to substitute the U.S. dollar. It is more likely that the status quo will be preserved, because revolutionary solutions are needed to radically change the situation, for example, returning to the gold standard or introducing the SDR as a global currency, which should be done in tandem with all major global market players. For now there are no preconditions for reaching such a global consensus. Even in Europe countries that are mentally and institutionally close have problems reaching such consensus on the issue of solving the problem of the current debt crisis,” the expert said.
According to IMF reports, the share of the U.S. dollar in aggregate currency reserves of all countries is 60%, having dropped from its peak of 71% in 1999. On the one hand, this means the U.S. dollar is gradually losing its strength, though it is still premature to speak of a significant decrease in its influence.