China wants new world currency...

[Stan]

China Takes Aim at Dollar, Urges New Global Currency

China calls for the creation of a new currency to eventually replace the dollar as the world's standard, reflecting a growing unhappiness with the U.S. role in the world economy.

The Wall Street Journal

FOXNews.com

Monday, March 23, 2009

BEIJING -- China called for the creation of a new currency to eventually replace the dollar as the world's standard, proposing a sweeping overhaul of global finance that reflects developing nations' growing unhappiness with the U.S. role in the world economy.

The unusual proposal, made by central bank governor Zhou Xiaochuan in an essay released Monday in Beijing, is part of China's increasingly assertive approach to shaping the global response to the financial crisis.

Zhou's proposal comes amid preparations for a summit of the world's industrial and developing nations, the Group of 20, in London next week. At past such meetings, developed nations have criticized China's economic and currency policies.

This time, China is on the offensive, backed by other emerging economies such as Russia in making clear they want a global economic order less dominated by the U.S. and other wealthy nations.

However, the technical and political hurdles to implementing China's recommendation are enormous, so even if backed by other nations, the proposal is unlikely to change the dollar's role in the short term. Central banks around the world hold more U.S. dollars and dollar securities than they do assets denominated in any other individual foreign currency. Such reserves can be used to stabilize the value of the central banks' domestic currencies.

Monday's proposal follows a similar one Russia made this month during preparations for the G20 meeting. Like China, Russia recommended that the International Monetary Fund might issue the currency, and emphasized the need to update "the obsolescent unipolar world economic order."

Chinese officials are frustrated at their financial dependence on the U.S., with Premier Wen Jiabao this month publicly expressing "worries" over China's significant holdings of U.S. government bonds. The size of those holdings means the value of the national rainy-day fund is mainly driven by factors China has little control over, such as fluctuations in the value of the dollar and changes in U.S. economic policies. While Chinese banks have weathered the global downturn and continue to lend, the collapse in demand for the nation's exports has shuttered factories and left millions jobless. Source

[Outta Here]

The rest of the story may be found here:

China Takes Aim at Dollar | WSJ.com, Cop...Rights Reserved

[SouthAfrican]

So that's why the Chinese did a whole lot of investments in Africa - to have more allies backing their demands.

Remember the words of Daniel 2:43 "And whereas thou sawest iron mixed with miry clay, they shall mingle themselves with the seed of men: but they shall not cleave one to another, even as iron is not mixed with clay."

[phkrause]

Its not just interesting but VERY interesting dgrimm!!!!!

pk

[Woody]

Yes. Russia is also pushing for the Global Currency. (They loan the second most money to the US.)

I wonder if that idea would make a difference in our country?

[SouthAfrican]

Yes. Russia is also pushing for the Global Currency. (They loan the second most money to the US.)

I wonder if that idea would make a difference in our country?

With a debt of 10 trillion US dollars?

And I thought Russia was bankrupt after the Cold War... (or am I mistaken?)

[fccool]

To correct you... that is 11 trillion.. but who counts? Both Russia and China has been talking about throwing dollar out of the window, because if the dollar goes, their economies likewise go with it.

This is nothing more than contingency planning, and it's understandable. For all who worry about "NWO currency", we already have a world universal currency, and %75 of all transactions in the world are conducted using - $.

[SouthAfrican]

11 trillion USD...

sounds like Zimbabwe...