Dollar reign threatens
There are indications of major changes in the world’s economy. A new report claimed that the US dollar dominance is no longer the same. Gradually many countries are distance from dollars and have increased to euro, yuan and cryptocurrency. Donald Trump’s concern may increase after this warning of Kenneth Rogoff, a well-known American economist, who has been considering the dollar’s strength to be America’s biggest weapon. Kenneth Rogoff has clearly stated that now the world is gradually distance from the dollar and trust in other currencies is increasing.
People are now showing interest in euro, yuan and crypto
According to the Economics Times report, Rogofy says that now people do not want to depend on the dollar now. Now people are increasing interest in digital money like Euro, China’s currency yuan and even cryptocurrency. He said, the dollar will remain, but now they are standing in front of him. According to him, these changes can gradually weaken America’s strength. Now if America wants to impose financial ban on a country, it will not be as effective as it was before.
American economist Kenneth Rog
America will get a shock
Rogofy has warned that if more countries make a distance from dollars, then it will directly affect America’s economy. Interest rates may increase, which will make it difficult to take and repay loans there. He told that many countries are now thinking of reducing the foreign reserves of America. They can reduce investment in American Treasury Bills. This will cost America to raise money from outside.
America is already in heavy debt
Rogob said that America has a lot of debt than before. If the interest rates also increase from above, the difficulties will increase further. He also criticized Donald Trump’s plan which has asked to impose 50% tax (tariff) on goods coming from India. Rogofy said that these steps can be harmful for America. Although he also said that there is no major crisis right now, but threats are definitely increasing. When the debt is too much, there is instability in politics and suddenly a big shock comes only then the real crisis comes, the disease said.
India can get benefit
This news is definitely bad for America but it is also good for countries like India. If the dollar is weak and currency like yuan or euro is strong, then the economic picture of the world can change. It can also have opportunities for developing countries like India. The rupee is at a poor level compared to the dollar. Currently, the price of rupee is Rs 87.31 against one dollar. In such a situation, if the matter of disease proves correct in the coming time, then the price of the rupee can improve against the dollar.