Breaking: Petrodollar Cracks: Saudi Arabia Considers Accepting Yuan For Chinese Oil Sales

[Song Hong]

KSA is just adapting to reality. It should accept dollar or Yuan. It should also consider a broader MENA currency union .....but not like the EU. More like the IMF and its SDR. A MENA SDR should also be accepted for payment of oil.


Its far more then Kashogi, USA no longer has sound monetary policy nor does it guarantee KSA security like it use to.

KSA is also taking a big risk. The existence of KSA depends on the mood of those guys in Potamac.

 

[CrazyZ]

KSA is also taking a big risk. The existence of KSA depends on the mood of those guys in Potamac.

USA is busy bleeding the Russians and wants nothing to do with wars in the MENA after being bogged down for the last 20 years. KSA biggest enemy is Iran which hates the USA as well. Only real internal threats are OBL type Islamists that the USA won't back. Threat is exaggerated IMO.

 

[tower9]

USA is busy bleeding the Russians and wants nothing to do with wars in the MENA after being bogged down for the last 20 years. KSA biggest enemy is Iran which hates the USA as well. Only real internal threats are OBL type Islamists that the USA won't back. Threat is exaggerated IMO.

Not to mention seeing the USA bomb the country hosting the cities of Mecca and Medina would just cause widespread outrage throughout the entire Islamic world. Would probably shift the Islamic world's gravity towards backing China.

 

[Hakikat ve Hikmet]

The USA is on an isolation mode. We are so happy....

 

[tower9]

Yes, China now has a huge territory and a homogeneous population of more than one billion. These do not come from winning the lottery, but from the accumulation of hegemony and imperialism for thousands of years.
We used to be imperialists ourselves, so we don't hate the British who defeated us in the Opium War. It's natural that the murderer should be killed. We deserve it. That's why we don't do that when Indians put all the problems on the British colonists.
But we don't want to repeat the mistakes of thousands of years, now we are more interested in making money. We should dominate global trade, not engage in imperialism.

Today, empires are built on finance and technology, not on grabbing land here and there.

China understands this and that's why it is focused on building commerce and technology.

 

[beijingwalker]

China wants to break dollar dominance​

16. March 2022, 2:00 Uhr

Following the sanctioning of Russia by exclusion from SWIFT, heated discussions emerged in China about accelerating the build-up of an alternative international payment system based on RMB. Actually, China has made significant progress in ramping up its Cross-border Interbank Payment System (CIPS) since 2015.

However, the prospects of CIPS largely depend on the pace of China’s capital account opening and China’s investment attractiveness for foreign institutions in the long run.

• The need to build up a standalone RMB-based international payment system becomes more prominent for China’s financial regulators after the financial sanctioning of Russia by exclusion from SWIFT, a widely-used information exchange system for cross-border payment.
• Ramping up the use of China’s Cross-border Interbank Payment System (CIPS) is highly likely to be even more prioritized by China’s financial policymaking going forward.
• In the past four years, cross-border transactions via this international payment system have grown significantly. Especially for 2021, Sinolytics estimates show a total transaction amount of RMB 82bn, 83% higher than the 2020 level.
• As of February 2022, CIPS has 76 directly participating institutions and 1.212 indirectly participating institutions globally. However, the majority of the market participants are located in Asia and connected to financial institutions with Chinese background.
• To expand its use among global financial institutions, CIPS would have to improve its international standard alignment and payment service scope. More importantly, the role of RMB as an international currency would have to be significantly enhanced, not only in international trade but also among global investors.
• To achieve this, China’s government will push further reforms on capital account regulations, allowing freer capital flows and reducing interventions in the foreign exchange market. Further, China can only make CIPS successful, if it improves policy transparency and maintains the ability of its capital market to attract global funding into China.

China wants to break dollar dominance

table.media

 

[RealNapster]

Pakistan must raise a 1 million man army and station them in the mideast along with 20 warheads to provide them security so they can make independent decisions. The only issue for them has always been security.

Pakistan have a 1 million man army and not 20 but 120 warheads. Does Pakistan make independent decisions ?

 

[K_Bin_W]

Truly sad moments for US lovers


Nothing can challenge china's cheap labor force. That was why western companies transferred their production lines into China.

What can the west do after all?

West can not do Jack with respect to imports from China there is simply no substitute.. One of my friends is in import/export and is a major supplier to Walmart according to him if there is no China there is no Walmart and many other similar retailers.

 

[comci]

Conspiracy theorists, please note this is a bargaining chip used by the Saudis to get concessions out of US and it's been going on for 6 years.

Also note, the US is not panicking neither it's sending it's aircraft carriers to the Middle East or applying any pressure on Saudi Arabia as we speak.

If anything, the Americans want Arabs to create their own NATO so they can concentrate in Asia Pacific.

Are you sure about that?​

​

Blinken planning trip to Saudi Arabia and UAE​

Barak Ravid
Wed, March 16, 2022, 5:30 PM·2 min read


In this article:

• 
  
• 
  
  Antony Blinken
  American government official and 71th U.S. Secretary of State

Secretary of State Tony Blinken is planning a possible trip to Saudi Arabia, the United Arab Emirates, Israel and the occupied West Bank later this month, according to five U.S., Israeli and Palestinian sources.
Why it matters: This would be Blinken’s first trip as secretary of state to Saudi Arabia and the UAE. It comes at a time of tensions between the Biden administration and two Gulf allies as it pushes them to increase oil production.
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Behind the scenes: The State Department has been working on coordinating the visit with the Israelis, Palestinians, Emiratis and Saudis for more than a week, three of the sources said.

• Blinken updated Lapid about the planned visit when they met in Riga, Latvia, 10 days ago, a senior Israeli official told me, but the schedule has changed several times since then.
• The trip could happen either immediately before or after Blinken joins Biden at the NATO leaders summit in Brussels on March 24.
• Yes, but: The U.S. and Israeli sources cautioned that events in Ukraine could influence the timing of the trip or lead to its cancellation.

State of play: After calling Saudi Crown Prince Mohammed bin Salman (MBS) a "pariah" during the campaign and keeping his distance early in his presidency, Biden now wants to convince MBS to increase oil production to stem the price spikes resulting from Russia's invasion of Ukraine.

• The Saudis have thus far refused and instead stuck to an agreement on production levels struck last year with Russia. According to the WSJ, MBS declined to take a phone call from Biden about oil production.
• A former U.S. official briefed on the situation tells Axios that MBS passed a message to the White House referencing the fact that Biden had previously said his counterpart was not the crown prince but the king, and suggested he, therefore, call him.
• When King Salman took the call from Biden, MBS made sure his talking points didn't include an agreement to increase oil production, according to the former official.

The other side: Relations with the UAE are also strained over what the Emiratis saw as an insufficient U.S. response to the Houthi missile attack on Abu Dhabi in January.
What they are saying: "While we have no travel to preview, the secretary firmly believes in the importance of our decades-long partnerships in the Middle East and our shared commitment to a peaceful, secure and prosperous region," a State Department spokesperson said.

Blinken planning trip to Saudi Arabia and UAE

Secretary of State Tony Blinken is planning a possible trip to Saudi Arabia, the United Arab Emirates, Israel and the occupied West Bank later this month, according to five U.S., Israeli and Palestinian sources.Why it matters: This would be Blinken’s first trip as secretary of state to Saudi...

news.yahoo.com

 

[comci]

I entirely agree with you. There is no need for war. All China has to do is as you said 'chip away' and slowly build up the Yuan. That in itself will bring about a compounding effect and degrade US influence in the world.

Personally I am not for China being a sole superpower either. The world needs balance and ulti-polar world is badly needed to move towards some form of redress for smaller countries.

We have seen how US has invaded countrya after country after demise of USSR. A multi-polar world wil bring in much needed stabiity.

Implying China will invading countries world wide after demise of USA. Lets wait and see.

 

[comci]

What has China to do with the West seizing Russia assets? You can sit back and watch the show. There is a thing called accountability. You do something you bear the consequences.

The irony is strong here. There will be indeed accountability for what the western countries are doing with regard to seizing and freezing Russians hard earn cash and assets.

 

[Indus Pakistan]

Implying China will invading countries world wide after demise of USA. Lets wait and see.

I am not saying China would but certainly the probability of that will increase.

 

[HAIDER]

Anyone, why MBS doing this? .. Saudi govt facing a financial crisis. Don't tell me they are living in ideal conditions, because the whole world is facing a financial crisis.

 

[Daniel808]

Shortsighted.

Post in thread 'Russia-Ukraine War - News and Developments' https://defence.pk/pdf/threads/russia-ukraine-war-news-and-developments.706984/post-13629628

Yeah maybe too early to said that.

But, current events happen in the last 3 months. Really Give a Strong Beachhead for Chinese Yuan to move much deeper to that point.

 

[Clutch]

Not to mention seeing the USA bomb the country hosting the cities of Mecca and Medina would just cause widespread outrage throughout the entire Islamic world. Would probably shift the Islamic world's gravity towards backing China.

No way.... Muslims are all neutered and corrupt by now.... They can bomb all of Saudi including mecca and madina.... No Muslim will do anything.... Just make sure to give them bags of $$$$$$$$$$$$$$ ...