- China is preparing for the day when they will abandon the dollar. They know the USD is heading towards toilet paper status. This is the reason they are making many direct central bank to central bank currency swap arrangements bypassing the USD. As more and more countries do so, demand for the USD as international currency of trade settlement will drop. The USD will collapse!
- The Illuminists know it is inevitable. They are fighting a rear guard action against all challengers to their world reserve currency, the USD. This is the main reason they attack gold (and silver) constantly. They fear a flight out of USD straight into gold will mean an irretrievable loss of their global monetary hegemony ie. Gold will become world currency. When they are ready they will attack all currencies via inflation -> hyperinflation ie. global currency debasement. Thereafter, they will release their One World Currency backed by gold. It is a systematic plan. (Note: I do not believe the Anglo-American-Zionist west will allow China to challenge their monetary hegemony with the CNY. War is brewing over this!)
People’s Bank of China Opens Direct Currency Swaps with Dubai and the UAE
This is not a particularly large deal, but it is another sign of the continuing erosion of the ad hoc Bretton Woods II currency regime and a growing disorder in global banking. Change is not just coming, it’s here.
The usual US public reponse is dismissive: ‘where else will they put their money?’ But behind the scenes the US is working very hard on this, often in conjunction with the Banks of England and at times Japan, to move to an alternative in the SDR based on a composition favorable to the dollar and the pound and the yen. Europe is being held off balance by the ratings agencies, suffering from a crisis in leadership and coherent policy. Germany is being urged to accept a ‘separate peace’ and assume a more powerful and controlling role on the Continent.
A significant area of contention is the petro-dollar, hence the heavy and continuing US military presence in the region. But don’t count out China, Russia, India and South America. Never play checkers when the other guys are playing chess (or Go).
Press Release People’s Bank of China
January 17, 2012 – People’s Bank of China, Dubai and the UAE Central Bank have signed bilateral currency swap agreements, aimed at strengthening bilateral financial cooperation and promote bilateral trade and investment and jointly safeguard regional financial stability. The 35 billion yuan swap / 200 million dirhams, is valid for three years and may be extended by mutual agreement.