Belarus becomes next country bent on ditching the dollar as they seek bi-lateral trade agreements with Russia

It is not just the Middle Eastern oil producers who are moving away from the dollar in international trade as on June 13, the nation of Belarus announced plans to ditch the dollar in favor of direct bi-lateral trade.

Belarus is one of five members that make up the Eurasian Economic Union, which seeks like their counterpart coalition in Asia to move towards direct bi-lateral trade outside of the global reserve currency.

The Belarusian Prime Minister, Andrey Kobyakov, has called for a complete shift away from the US dollar towards national currencies in Russia-Belarus trade and price-setting. 

“That would be great if the entire trade turnover, as well as price-formation were set in national currencies,” Kobyakov said during the session of the Council of Ministers of the Union State of Russia and Belarus. 

Kobyakov also said that increasing trade turnover to $40 billion should be set as a strategic task for the neighboring states. 

“Positive trends towards the restoration of economic growth in our countries were secured in 2017 and have been reflected in results of bilateral trade. In 2017 Belarus-Russia trade rose by 23.5 percent to $32.4 billion,” he said. –

Direct bi-lateral trade is the most powerful way to evade economic sanctions imposed by the United States since the only real teeth those sanctions have is in their ability to cut off a nation from SWIFT and from their being able to buy dollars for use in global trade.  And this is already being seen in Iran where the oil producer simply sells their oil to Russia outside the dollar and where Russia then subsequently sells that oil under their own banner.

As the U.S. suppresses gold prices to protect the dollar, it has allowed Russia and China to boost reserves that might actually one day kill the reserve currency

Perhaps one of the biggest ironies in the U.S.'s  monetary policies has been the ongoing suppression of the gold price by the central and bullion banks to limit gold's power in exposing the dollar.  But in doing so through the paper markets, it has also allowed their financial competitors in both Russia and China to purchase massive amounts of the metal at discounted prices.

And in the end, their stockpiles of gold could one day be the very thing that destroys the dollar as the singular global reserve currency.

Perhaps one of the biggest ironies in the U.S.'s  monetary policies has been the ongoing suppression of the gold price by the central and bullion banks to limit gold's power in exposing the dollar.  But in doing so through the paper markets, it has also allowed their financial competitors in both Russia and China to purchase massive amounts of the metal at discounted prices.

And in the end, their stockpiles of gold could one day be the very thing that destroys the dollar as the singular global reserve currency.

Efforts by the US to suppress gold prices in order to prop up the dollar are allowing Russia and China to build up huge reserves of physical gold by purchasing large quantities of the precious metal at significantly lower prices. 

Net central bank purchases in the first quarter of the current year surged by 42 percent compared to the same period a year ago, totaling 116.5 tons, according to data compiled by the World Gold Council (WGC). The number reportedly represents the highest quarterly total since 2014. 

Over the past two decades, Russia has been ramping up the purchases of physical gold. In May, the country's gold reserves surged to 1,909 tons, Russia's Finance Ministry reported. Since 2000, the country’s gold reserves have surged by 500 percent. 

China and Russia, along with Turkey, India and other countries have been aggressively accumulating gold reserves in a bid to diversify their reserve financial assets from the greenback that currently serves as the global reserve currency. – Russia Today