russian ortiz spoke to vittorio or by the current difficulties of doing business in the russian market. ah, there started no sooner shop in the main difficulties for us. firstly, is the process of acquiring components as they could be partially sanctioned. the 2nd is logistical problems and this becomes more complicated you the cues at the borders of poland and belarus which complicates the delivery of goods. the 3rd is the problem of the banking system, especially financial transactions. the biggest advantage for us is to keep our 20 years of hard work because russia will always be there for us. and it is a market that cannot be lost. the position of year of an italy are the same, but no one has ever directly told us to leave the russian market. mm minivan. okay, gotcha. recently we gather a conference of various economists from around the world and every one agree that russian economy is resisting. moreover,

there will be an improvement in the near future, much better than expected, not only abroad, but also rush itself shantee rebuke sanctions has never worked. it's more of a diplomatic tool, and the result of sanctions is always 0. sometimes even the opposite. the u. s. is the one imposed most of the sanctions now, but not because it was to healthy grain. this has been done for an open confrontation with russia. president couldn't recently say that those companies that remained in russia require assistance and protection from the west companies that left, i believe, did so because of strong pressure from outside, many companies had once invest billions in the russian market, have a very strong desire to return. but they cannot do so due to political reasons. the 10th package of sanctions creates certain problems. there is too much control where none is needed at all. there is no support from italy either as no one there is even interested in how much we've lost because of the sanctions and did not want to

reimburse it for us. we do not circumvent sanctions because we do not want to be in the grey zone. on the other hand, we res, closing the entire market in general, but for a month or a year but forever, i hope that out 20 years of work will not be wasted. and that we will only prove the economy of our country's will staying all a financial feed with more and more country seeking to do cross border deals in the room currencies. what lies ahead for the dollar this debt gate crosstalk debates, the green box help ah, ah, ah ah . hello and welcome to cross hawk where all things are considered. i'm

peter lavelle. sometimes the law of unintended consequences kicks in with a vengeance take, for example, washington's addiction of sanctioning countries around the world for short term political gain. the unintended consequence is the weakening of the american greenback and american power. with cross hawking, the u. s. dollar, i'm joined by my guess rick sterling in walnut creek. he is a journalist at anti war dot com in winnipeg. we have radical decide she is a professor at the university of manitoba and here in moscow we have ralph niemeyer . he is chairman of the council for a constitution and sovereignty or at cross sack rosen. if that means you can jump any time you want. and i always appreciate rebecca. i go to you 1st. in winnipeg, we hear a lot of stories. i talked about this a number of years ago, the end of dollar dominance. now it's becoming

a very common theme in financial media, political media, even what, what is the danger? well, what is the prospects for the u. s. dollar as more and more countries are trading in their own currencies. go ahead in winnipeg, i think that the more than ever the dollar has always been very problematic. people even it's most, ogden advocates have already said it's not perfect, but it's the best is to leave got et cetera. so it's always had problems in serving the world reliably stay billy and neutrally. but today the u. s. economy is weakening. it's financial systems, contradictions that exploding all over and its presence in world trade is diminishing. where all of these are put together than what you're getting is essentially the rest of the world seeking and now finding alternatives to the dollar. this is the big change now, is that the rest of the world that has never been satisfied. and remember, for the overwhelming majority of the world, the world majority, as i think russians are increasingly calling it the one of the problems or the

gonna system. or the major problem has always been a massive under valuation of de courtesies visa, either donna. so the world has been selling the united states and the rich countries in general, things at a far lower price than they should be getting. so for all these reasons, now that alternatives are available now that the representation of the donor system is so blatant, they are seeking and finding alternatives. well, rick, that's really the point. i mean, it's trust in this currency. our currency, if it's used as a political weapon against real or imagined adversaries. it diminishes its whole purpose as being a fee of currency here and more and more of the world is waking up to that and, and as the professor pointed out here, it's inherently unfair. it's a rig system and people have alternatives now. and this is what we're seeing. go ahead. rick and walnut creek. yeah. well they, they created the alternative speakers and countries have been crucial. we've been

been punished for relying on the dollars. so the, the us says, given countries the strong motivation to move away from them. at the same time we've seen the u. s. national deb exploding where they could just print money and will inhabit, accepted around the world. and countries are seeing this as well. the, the national debt of the us is accelerating over one trillion dollars a year, and many countries are looking at that and saying, well, why can you do that? why can you punish us by, by effectively forcing us to use the dollar. so the us itself has given countries around the world and the motive to move away from the us dollar route. the, essentially, the same thing applies to the euro, because as the us manages its economy in its interest around the world, it doesn't hesitate to punish europe and damage of the euro. i mean,

it's really extraordinary. we talk about real and imagined adversaries. i thought europe was americans, friend, but no, that'll be the treasury department will stop the year on the back and a drop of a hat. go ahead, ralph. yeah, it's absolutely true. and of course, you also have to, to see that parts of it is owed to the financial crisis that was never solved in 2000 a, 2009. it was only fresh depths that were created trillions hanging over us all. and this is of course collapsing now. so now people are questioning whether the dollar is that all the reserve currency and the longer and probably it won't be because now the virtual reality hits us all back. i mean, we see now that virtual currencies on the rise, and this will be the new world order and it will be a different new world order that they had been planning for in davos or in washington or california. so this is the new world order that i see happening here

now with the brakes. and i wish that germany would be part of that because we are talking about a real economy with production and getting sources on the line i want. i want to get to that. i want to get to that in a moment here, radical i've asked a number of economists to me. it seems to me and explained to me if i understand this correctly as more and more people countries reject to us dollar for as a means of trade. where do all these dollars go? or isn't there a tendency for them to start flowing back to the united states? does that create the possibility of hyper inflation will be overwhelmed with all these dollars that have been printing a quantitative easing? all of that, it's good, it's good. it's good, like a vacuum. it's going to go back to the u. s. because there's no one else that wants them. is that a fair description? yes, absolutely. so essentially, all the dollars that, you know, the so feet of dollars that are around the was the rest of the was the be selling

dollars in buying of the currency. so yes, the dollars will flow back into the united states, creating a surf he took dollars, but there is one small qualification that one ought to me, which is the united states. federal reserve has been essentially printing dollars in vast quantities for a long time. certainly since the 2008 financial crisis, but until the last year or 2 of this did not result in inflation. why? for a very simple reason. the o hemming majority of the trillions of dollars that have been created since 2008 have actually gone directly into financial institutions where they have gone into the black or that are the balance sheets of these financial institutions. hardly any of this money has actually taken out into the pockets of the ordinary, joined jane in the united states, which means that this money printing is hardly a really a cause of inflation. inflation has been caused because all those conditions,

which for the last 3 or 4 decades has kept inflation low. specifically the weakness of labor and the weakness of the world. majority the rest of the world in terms of demanding higher prices for their commodities and for their products. these have been suppressed as and now these can no longer be suppressed. which means that this, it says that fact, the very development of the rest of the world is now posing a challenge to the united states dollar. and that challenge takes the form of inflation. also, if i go to rick and walnut creek, got another issue parallel to all of this is that we all know that the, with the advent of the conflict in ukraine, ah, russia's um, central bank reserves were frozen. we had her you few years before that venezuela's gold was confiscated. i mean the west was supposed to be an impartial. i banker, you know, protecting all our assets around the world. well that is patently not true any

longer. we've never seen these kind of acid. um seizures before, i don't know why any other country would want to put their money in the bank of london for example. go ahead rick. yeah, you're exactly right peter. that the u. k and the u. s. are the, the main culprits in this were they have seized the assets of a country such as valensuela, the cisco network of gas stations was seized by the united states that a national resource of the bins, oil in people was, was just seized. more recently we saw the afghan and national reserves that were in the u. k. dolan. and apparently some of the money is being given to american victims of 911. or how does that figure people around the world are looking at that? ok, so you know that theft of a national currency, the national reserves is supposedly the holdings were safe in the u. k. it turned

out to be they were totally not safe as well as individuals, a russian investors and russian. the billionaires thought their money was safe in the u. k. they, they found out otherwise. well, absolutely. in ralph, we have the european union, at least members of the european union are speculating how they can seize illegally sees, because there's no law for this right now. individuals assets and to append to them off on to others, presumably the elite in, in can here. i mean, this is just a wide array of illegal activity. and all it does is undermine the front competence people have in international financial institutions. ralph? yeah, and it is, as you said before, and the feared currencies are trouble and risk now because of course, dave finance wars with that and did type in hyper speculation like high you trading

pro wasn't all that we've done. now we have at the same time that the real purchasing power, the purchasing power parity that has called has increased for the 1st time ever. and cert passed the one off the g 7 by the bricks, countries. so it's 30 point one percent 30.5 percent towards 29 percent or so after breaks that they have more share off the global g d p. now this is for the 1st time that the bricks overtaking the g 7. and that is the new reality. people have to wake up too. so why go for a fear at currencies any longer if they are not, not providing the security that they used to. and of course, if you mentioned a war as, yeah, well, they are financed by these, by des, feared currencies. so if we take a re, i think a lot of the funding goes away for ralph what, you know, we were talking about sanctions and seizures of assets here. what the g 7 countries

will do in turn, is sanctioning these countries that are going around the u. s. dollar and western financial. i mean, the vicious circle goes around and around british up for it's before we go to the break ralph? yeah, it is true and that's what ruining and is our country germany. our industry is suffering heavily and the population as well under sanctions. the us make us impose and to tell us not to have gas and oil from russia. i mean, that is the most aggressive act towards germany in the postwar history. yeah, well that's how you, how much washington respects the sovereignty of other countries. i'm going to go to, we're going to go to a short break and wrapped about short break. we'll continue our discussion on the us dollar. stay with our team. ah, ah ah,

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ah ah, ah . the welcome back to cross talk where all things are considered. i'm peter lubelle's room and you were discussing the us dollar. in me okay, let's go back to winnipeg, professor ralph mentioned just briefly in the 1st part of the program about how other currencies are basing the value of their currencies on products on assets.

and i think that's another reason why people are looking for alternatives because the u. s. dollars is kind of wind circle. we have a small group of people telling us what it's worth, what it might not be worth relative to this to that. but if it's backed by assets by wheat in grain and oil, and all these other things here and has a real tangible meaning. and it's going back to some of the things you said earlier in the program about real price value of products around the world that are undermined by the us dollars. so this is another reason why people are looking for alternatives to get true value out of their products. go ahead. yes, i mean, definitely guns. he's require constant isn't historically backing up currency with a resource. usually gold has been one way of inspiring confidence. however, let me say that currency has been says, always fit money. you know, you may choose to back them with a resource, but they always see it money and the confidence can also come from other sources.

including, for example, knowing that the currency is well managed, is not over or under valued, etc. in relation to go to key commodities, including gold. but also you mentioned the oil copper or what have you. so if the value of the country is kept reading, this is no different from backing it with resources. i mean, the china, for example, doesn't need to back if you, on with resources. if people believe that the chinese economy and the value of the you are the stable, the chinese economy is large, et cetera, et cetera. so i think while it's a good measure you can take, if there is the but section of a lack of confidence in your currency, it's not should be necessary. confidence can come from many sources. that's very good point here. it's about how much competence you have any, how well it's managed as a professor pointed out here, and i think there's a recklessness of the way the us dollars been managed. because if it's, if the purpose of your currency is to derive political aims. i mean,

i've pretty much want to stay away from that, particularly if i don't agree with those policies here. and, and obviously we see countries like china in india and others really in large emerging countries, brazil, for example. they're seeing how poorly the u. s. dollars being managed and going back to some of the things that ralph have to say, how about a basket of currencies, you've got to spread out your risk right there. and i think that's what smart money is doing. rick and walnut creek. yeah, well exactly. the bricks, country, countries are looking at creating a basket of currencies so that they can conduct all the among those major countries in. and if we look at the, even the holdings of us national security, the biggest holder is japan. in the last year, it reduced its holdings in u. s. national to pressure is a by 15 percent from $1.00 trillion $1.00 to $1.00 trillion dollars. the 2nd

biggest boulder is china, which similarly reduced. ready holdings by 15 percent in the, in the last year from $11.00 slightly over 1000000 dollars to point 85000000 dollars. so we can see that that's a, that's a pretty clear indication that that countries are having a waning confidence in the us dollar. and seeking to reduce their holdings at the same time, i think it's clear that china does not want to see the us dollar crash. the u. s. is still the largest trading partner with china, and they would see a lot of negative consequences of a certain crash of the u. s. dollar. but, but we're seeing clear signs that many countries around the world. most countries around the world are, are, are seeing, seeing that need to move away from the reliance on the us dollar. well, exactly, ralph we, as i mentioned,

we have china in brazil. they've agreed these companies have agreed that they will trade in their own currencies. and probably one of the biggest stories of the year is it saudi arabia, well, exclusively sell it's oil in dollars. i mean, i don't know if people in the treasury department are listening here. the petro dollar is really the fault from the, gave the west, so much prosperity since the 19 seventy's. and we see this huge direction directional change in the, in the energy market here. that is going to diminish american power. but what i worry about ralph is that when they know this is diminishing element is facing them, it will make them more aggressive against those don't want to trade. essentially, if they're going to force people to trade in dollars, that's a very dangerous environment. i think that's right, and we see the reasons for all the wars that the united states are engaged in at the moment, indirectly in ukraine, but also they're preparing for war in taiwan. if you look at that,

it looks like they are trying to claim their stakes last time as long as they still have that power before the new world is being constructed. and i think it will be much more a road of sovereign nations, like in africa, a lot of nations are breaking up. and of course you mentioned bricks earlier of the job are already of super power all together. so we will see a change that is as radical as in one, 989990. about 33 years ago when the berlin wall fell. no one had expected that to happen a year before. so i think now with the conflict in ukraine being to capitalizing effect that we see the world through, we see that also it will come to a new world, probably missed a my cry. who recently went to china, who said that they should not and frowns, should not into european union,

should not stand with, with america in all aspects. and the longer that is probably where most europeans would, would become various and they are breaking up that the moment. well, i mean, the whole premise of the european union with prosperity and security and they're, they're getting less and less of both as time goes on. reco. explain to me. i mean, what could, if you wanted to reverse this trend, is there anything that could do? no, i think that's it. yeah, that's what i was expecting. go ahead. yeah. and that's a really interesting question because, you know, look at it this way, as you, your says, pointed out the weapon i vision of the us dollar is boomerang being back on the united states, it's making, it's not making the dollars stronger. it's making the dollar weaker. so instead of this, what happens when the only weapons you have at hand actually have a counterproductive effect? it actually is like, you know, the only weapons you have when you're sitting on

a solidly milford tree is a saw. and all that helps you to do is got the limb on which you are sitting. right . that's the situation. the daughter is in the united states. however, at the same time, we'll continue to use these weapons counterproductive as they are, because you know what, they don't have a plan beach. they don't have a plan b of saying, you know, want me, should settle down to a mighty currency would the should not try to impose the dollar on the one, etc. for the last century and more they have tried to impose the dollar on the rest of the world. and the resent is, is that this has never fully succeeded, and now it is receding more rapidly than ever. the united states does not have any good weapons, but it is not going to stop trying. well, i mean reca, if we had a multi currency world, it would be far more competitive, isn't that better for everyone? it looks like the west, particularly those, the worship, the u. s. dollar. they'd abhor competition because if you're competitive it, you get a better view, but we are production costs. you, you, you are lower them,

you have lower prices for your consumers here, but that's not what the dollar is for. the dollar is for foreign policy. dreams of the people inside the beltway. yeah, yeah, that's exactly right. and the majority of the population in the united states is not benefiting from that policy. but i think there's a huge lack of awareness or ignorance in the us about about these international going on and the, the increasing move away from the us dollar. just, you know, in the last days or the last week or so, we've seen that. we've seen the bricks, countries confirming that they're going to move away for to a different due to a different trade trade in a different currency. saudi arabia joining the shanghai cooperation organization. all of these trends are happening and and,

and the u. s. population is largely unaware of it and unaware of what of the, the status of the us dollar. they just keep raising the ceiling on the national debt without, you know, they don't like rhetoric. i was saying there does not seem to be a plan b there. there needs to be. and that should be part of the discussion in the upcoming election in the, in 2024. but so far we've heard nothing of that. yeah, ralph, in these political lead from the west, all they want to do is take the can down the road. it's somebody else's problem. i mean, not too many years ago. i can remember when the us national debt was like 9 trillion dollars in and that was a lot of money. and now what we'd like $32.00 trillion dollars and that's probably underestimated that. okay. i mean, there seems to be no political will to try to reverse this trend here,

but then again, it wouldn't generate any political dividends for the people in power. go ahead, ralph. well, i think it only shows that and raises the question which economic system do we want to live under? we have seen socialism in this country fail and, and the eastern european countries fail 33 years ago because the lies can't became too big socialism, imploded capitalism. explodes, that's why sees the wars and all these steps that are being created. they are now raining down onto the goods markets. this will cause a lot of tragedies for everyone, also in the united states, but around the globe. so i think the question is, is there a way possible and is that the new economic system we will see evolved from, from these crisis. and maybe this is for the next discussion that we should have. how would we see when we get out of the crisis is after all these wars, how do we continue?

and i think discretion is more about the economy than about any military alliances, i think says, well, i'm kind of an old fashioned guy. i think the economy should be about the well being of every one of people it should be caught. and that's, we've lost that we have lost that because of politics because of ideology and the people are being left behind and radical is really pointed out. the most important thing here. let people in the global south get to value for their work and their products at something the west because we'll have to, we'll deal with and it's going to be a harsh reality for all. it's all the time we have. i want to thank my guests in walnut creek, winnipeg, and here in moscow. and i wanna think our viewers for watching us here are to see you next time. remember the the

ah, water westerly i maybe thought on. i mean, i had a major was are your ship with a hair dresser, a bus driver, a sales person, anyone could become a victim, that private negotiators 1st appeared with them. i'm bored to speak with a a s s at the end of the reason why you're bored yet, but my mom that on the global, those in asia won't be feasible mentioned on from the yet to be a study sports took over this. every me go put it with

with rushes, defense minister condemns the west for quote, eliminating global a security architecture. they made the comments in a speech on the shanghai cooperation organization meet for top military officials. also, i have in the program this our hundreds of people across into a coastal city in student and in the attempt to escape the country as we clashes between the warning sides continues. despite attempts to stop the bloodshed, grain conflict rages done bouts, residents have been displaced by t at shelling. sure their experience with us, of living on the right.