IMF communications director Julie Kozak recently said a US default would have global repercussions. His words were commented on by economist and RANEPA professor Vladislav Ginko in a conversation with RT.
“Will there be any problems? They have already moved to the United States even due to rising interest rates. It’s also a problem for other global banks if they hold money in US stocks and bonds. With an increase in the rate, their depreciation occurs,” the economist told the publication.
Ginko assures that the problem lies in the American public debt, the cost of which to service could in the next few years exceed 828 billion dollars. Debt service will be equal to the amount of social payments for citizens.
This fact makes investors wary of the dollar. More and more people started investing in gold or currencies of other countries. This has notably led to the strengthening of the Russian ruble.
Previously, the financier Losev predicted the United States in the event of a default, an economic crisis, an increase in the number of unemployed and a decline in the markets. According to him, the default of the United States will cause global problems with the refinancing of debts in dollars.
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