The decision to loan Ukraine money using Russia's frozen funds is going to have a lot of blowback
Obviously it ends any possibility of Russia putting their money in any G7 bank ever again. Which means all Russian oil money is going to China and BRICs countries.
But it also means all the BRICs countries will work together to create an alternative to the US dollar, they have no choice now that they know they can't safely deposit in any western asset.
It also sets a precedent that countries can have assets seized as reparations for conflicts they are involved in. There's a few Middle Eastern countries that will start asking whether the US owes them some damage payouts.
Lastly it puts Ukraine in debt for generations. That's not going to win a lot of hearts and minds when this war draws to a close and the economy is already a basket case
But it also means all the BRICs countries will work together to create an alternative to the US dollar, they have no choice now that they know they can't safely deposit in any western asset.
It also sets a precedent that countries can have assets seized as reparations for conflicts they are involved in. There's a few Middle Eastern countries that will start asking whether the US owes them some damage payouts.
Lastly it puts Ukraine in debt for generations. That's not going to win a lot of hearts and minds when this war draws to a close and the economy is already a basket case
41-45, M
