dedollarization

Abandoning greenback dominance

Dedollarization is the process of reducing reliance on the U.S. dollar in international trade, reserves, and financial transactions.

Countries pursuing dedollarization may shift to other currencies, gold, or alternative payment systems: Russia and China have accelerated dedollarization efforts since 2022.

The term often appears in discussions of sanctions, geopolitics, and challenges to American economic dominance.

currency

renminbi

China's official money

yuanChinese monetary unit
rubleRussian monetary unit
rupeeIndian monetary unit

euro · yen · peso · dinar · real · won · dirham · naira · baht · zloty

economics

reserves

Resources held back

trade surplusExports outpacing imports
foreign exchangeTrading between national currencies
capital flowsMovement of investment money

debt restructuring · commodities · gold · inflation hedge · liquidity · devaluation · currency manipulation · balance of payments · petrodollar · import substitution

policy

sanctions

Punitive international restrictions

bilateralInvolving two parties
multilateralInvolving multiple parties
trade agreementsFormal accords on commerce

monetary policy · central bank · BRICS · tariffs · embargo · protectionism · regulatory · nationalization · strategic reserves

geopolitics

sovereignty

Supreme independent authority

hegemonyDominant group's control
multipolarityMultiple competing power centers
nonalignmentRefusal to join blocs

BRICS · sanctions evasion · Russia · China · Iran · Venezuela · economic independence · decoupling

Opposites

currency dominance direction

dedollarizationdollarization

Adopting foreign currency officially

dollar dominance · Bretton Woods system

economic hegemony

dedollarizationWashington Consensus

1990s development policy prescriptions

Family

dollar, dollars, dollarize, dollarization, dollarized

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Profile: Abstract · Rated G