Mutual settlements in dollars and euros harm economies of EEU countries - Kosachev
<p> MINSK, Jan 28 - PrimePress. Mutual settlements in dollars and euros are detrimental to the economies of the Eurasian Economic Union (EEU - Armenia, Belarus, Kazakhstan, Kyrgyzstan and Russia), which requires an early transition to settlements in national currencies, says Konstantin Kosachev, chairman of the International Committee of the Russian Federation Council. </p> <p> </p> <p> The MP made a statement to this effect at a roundtable on financial and economic sovereignty of the EEU on January 28. </p> <p> </p> <p> Kosachev said that mutual settlements in dollars and euros lead to losses for businesses and state budgets of the EEU states, creating risks due to the volatility of the exchange rate, real or potential sanctions. In his view, in order not to fall under these risks, “it would be better to make mutual settlements in national currencies, or to stick to one national currency.” </p> <p> </p> <p> The legislator cited the example, when in order to convert the Russian ruble to the Kazakh tenge, the Russian currency must first be converted to the dollar, and then from the dollar to tenge. </p> <p> </p> <p> “To create the EEU’s own financial structure, we need to stabilize the exchange rate of national currencies and further regulate the relevant processes through separate agreements,” said Kosachev. He explained that the CIS Interstate Bank or the Eurasian Development Bank could be used as a base for these purposes. End </p>
2021-01-29
Primepress
Mutual settlements in dollars and euros harm economies of EEU countries - Kosachev
MINSK, Jan 28 - PrimePress. Mutual settlements in dollars and euros are detrimental to the economies of the Eurasian Economic Union (EEU - Armenia, Belarus, Kazakhstan, Kyrgyzstan and Russia), which requires an early transition to settlements in national currencies, says Konstantin Kosachev, chairman of the International Committee of the Russian Federation Council.
The MP made a statement to this effect at a roundtable on financial and economic sovereignty of the EEU on January 28.
Kosachev said that mutual settlements in dollars and euros lead to losses for businesses and state budgets of the EEU states, creating risks due to the volatility of the exchange rate, real or potential sanctions. In his view, in order not to fall under these risks, “it would be better to make mutual settlements in national currencies, or to stick to one national currency.”
The legislator cited the example, when in order to convert the Russian ruble to the Kazakh tenge, the Russian currency must first be converted to the dollar, and then from the dollar to tenge.
“To create the EEU’s own financial structure, we need to stabilize the exchange rate of national currencies and further regulate the relevant processes through separate agreements,” said Kosachev. He explained that the CIS Interstate Bank or the Eurasian Development Bank could be used as a base for these purposes. End