- In the aftermath of Russia’s invasion of Ukraine, a number of countries have looked for alternatives to the greenback.
- Adjusting for exchange rate movements, the dollar has lost about 11% of its market share since 2016 and double that amount since 2008.
Meanwhile, smaller nations are experimenting with de-dollarization while China and India are pushing to internationalize their currencies for trade settlement.
- Countries fear that the dollar may become a permanent political tool or be used as a form of economic statecraft to create pressure.
The US currency now represents about 58% of total global official reserves, down from 73% in 2001.
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