© Sputnik / Alexey Sukhorukov
A new financial order will be negotiated in the world,
and the West won't have the main say in it anymore, ex-Russian President Dmitry Medvedev has claimed.
The "hellish" sanctions imposed on Russia by the US, EU, and their allies over the conflict in Ukraine have
failed to cripple to the country, but are instead "returning to the West like a boomerang," Medvedev, the former Russian president who is now the deputy chairman of the Russian Security Council, wrote on Telegram. "This is hurtful for our 'friends' in Europe and overseas."
But while the West continues its "fruitless efforts" to restrict Russia, "the world is gradually moving towards
a new logic of global economic relations; towards upgrading the financial system," he said.
According to Medvedev, the US and EU have "tarnished their reputation" by blocking the reserves of the Russian central bank.
"It is impossible to trust those who freeze the accounts of other states; steal other people's business assets and personal possessions, compromising the principles of sanctity of private property."After the outbreak of the conflict in Ukraine in late February, the US and EU froze nearly half of Russia's foreign currency reserves, worth $300 billion. Washington created a special Task Force, KleptoCapture, to oversee the implementation of sanctions against Moscow and seize the assets of individuals and entities who violate them.
Confidence in reserve currencies is "fading like the morning mist," and the prospect of abandoning the dollar and euro in this role does not seem like such an unrealistic prospect anymore, he said.
"The era of regional currencies is coming."
Comment: On Tuesday, Russian natural gas flow through the Yamal-Europe pipeline from Germany to Poland
fell to zero - but it's unclear why - it could simply be due to "equal gas flow deliveries in the direct and reverse modes". A sign of things to come?
Dmitry Peskov
clarified the rubles-for-gas scheme, saying it will take time to implement and won't begin immediately, allowing importers time to adjust. Several states have outright refused to pay rubles,
like the UK (who conveniently aren't reliant on Russian gas). Estonia
proposed the genius idea of simply not paying Russia for oil and gas. Putin and Germany's Scholz
spoke on the issue, with Putin assuring Scholz that German contracts won't be affected:
Moscow claimed that Putin explained to Scholz that his government is now demanding payment in rubles "due to the fact that, in violation of international law, the foreign exchange reserves of the Bank of Russia were frozen by the EU member states." However, Putin told Scholz that the switchover would not result in less advantageous contract conditions for German importers.
Around the same time, Germany triggered its "
gas emergency" plan (
Austria too) in preparation for a potential disruption or halt to Russian gas supplies. Germany is reliant on Russian gas (over 50%), and trade unions warn that without it,
whole industries will instantly cease functioning.
And it's not just gas. Peskov hinted at the possibility that
ALL Russian exports could soon have to be paid in rubles: food, metal, timber, etc. Global wheat prices are already at historic highs, and former Polish FM Tusk predicts
bread prices could quadruple in Poland.
Comment: See also: Victoria Nuland Admits Ukraine Has 'Biological Research Facilities', Worried Russia May Seize Them