Pakistan to trade in yuan while launch of petro-yuan draws nearer
The USA is cutting off some funding to Pakistan:
January 4, 2018
Following a harshly worded New Year’s Day tweet by President Trump accusing Pakistan of “deceit” and harboring terrorists, State Department spokesperson Heather Nauert confirmed Thursday that the U.S. will suspend most security assistance to Islamabad.
The cutoff is not permanent, Nauert said, and only affects military assistance. …
In his first tweet of 2018, Trump said the U.S. “has foolishly given Pakistan more than 33 billion dollars in aid over the last 15 years, and they have given us nothing but lies & deceit, thinking of our leaders as fools. They give safe haven to the terrorists we hunt in Afghanistan, with little help. No more!”
Ahead of Nauert’s remarks, military spokesman Maj. Gen. Asif Ghafoor told a Pakistani news channel Wednesday that Pakistan would continue to cooperate with the U.S. but would not “compromise on national interests and prestige.”
“Aid cuts will not hurt us,” Pakistan’s finance ministry head Miftah Ismail told Reuters. https://www.npr.org/sections/thetwo-way/2018/01/04/575492300/u-s-suspends-most-security-assistance-to-pakistan
Pakistan is not pleased with the USA’s decision to cut funding. It may have made the following announcement because of what US President Trump tweeted:
Pakistan is ditching the dollar for trade with China — 24 hours after Trump denounced the country
- A day after President Donald Trump slammed Pakistan on Twitter, the South Asian nation announced it will replace the dollar with yuan for bilateral trade with Beijing
- As U.S.-Pakistan relations grow increasingly strained, China has been pursuing closer links with the country
Just 24 hours after President Donald Trump took aim at Pakistan on Twitter, the South Asian nation already appears to be cozying up to the world’s second-largest economy.
A day after the U.S. leader slammed Islamabad for harboring terrorists in a New Year’s Day tweet, Pakistan’s central bank announced that it will be replacing the dollar with the yuan for bilateral trade and investment with Beijing.
The same day, Chinese Foreign Ministry spokesman Geng Shuang defended Islamabad’s counter-terrorism track record, saying the country “made great efforts and sacrifices for combating terrorism” and urged the international community to “fully recognize this.” https://www.cnbc.com/2018/01/03/pakistan-china-ties-strengthen-after-president-donald-trumps-rant.html
January 4, 2018
The State Bank of Pakistan has formally allowed the use of Chinese currency Yuan for the bilateral trade after both countries agreed the move could take away the burden of relying on U.S. dollars, according to a Pakistani state minister on Thursday.
The decision came soon after U.S. President Donald Trump threatened Pakistan to stop all aid to Islamabad.
“State Bank of Pakistan has issued the circular and formally allowed both public and private enterprises [both Pakistanis and Chinese] to use Chinese currency for bilateral trade and investment activities,” State Minister for Finance Rana Afzal told Anadolu Agency.
Currently, Pakistan-China annual bilateral trade stands at around $15 billion, which would increase further after the launch of the China-Pakistan Economic Corridor (CPEC), the minister added.
The adoption of the Chinese currency would mean that both countries would be able to replace the U.S. dollar for their transactions and investments in CPEC projects as well. …
“It would help both side businessmen to trade in local currency and now they don’t need to buy U.S. dollar from market to trade” Pakistan-based economist Gulab Sher said. https://www.yenisafak.com/en/world/pakistan-china-to-use-chinese-currency-for-trade-2941908
Currently, the USA benefits from most international trade as most of the time nations use US dollars for trade. Every time a nation stops doing that, or reduces doing that, it has a negative effect on the economy of the USA.
As I have written before, there is a price to US sanctions and they do affect the dollar.
While Pakistan is not a major international economic player, it is one more country that is moving away from the USA dollar.
North Korea, Iran, Iraq, Indonesia, Venezuela, Russia, and China are as well. As are the other BRICS nations and the others in the Eurasian Economic Union.
A couple of months ago, I reported the following
25 October 2017
China could already denominate its first oil contracts in yuan in two months.
China is obviously preparing a serious attempt to challenge the dollar as the world’s leading currency.
25.10.2017
China könnte bereits in zwei Monaten seine ersten Öl-Kontrakte in Yuan denominieren.
China bereitet offenbar einen ernsthaften Versuch vor, den Dollar als Weltleitwährung herauszufordern. http://www.finanznachrichten.de/nachrichten-2017-10/42043561-angriff-auf-den-dollar-china-bereitet-petro-yuan-vor-259.htm
Notice also the following:
China Makes a Move on the USD
October 25, 2017
China is set to roll out a yuan-denominated oil contract … Analysts call the plan, announced by Beijing in September, a huge move against the dollar’s global dominance.
The so-called petro-yuan is a “wake up call” for investors who haven’t paid attention to the Chinese plans, according to the head of Graticule Asset Management Asia Adam Levinson, as quoted by Bloomberg.
Earlier this year, the Chinese government announced plans to start a crude oil futures contract priced in yuan and convertible into gold. The contract will enable the country’s trading partners to pay with gold or to convert yuan into gold without the necessity to keep money in Chinese assets or turn it into US dollars.
The new benchmark will reportedly allow exporters, such as Russia, Iran or Venezuela to avoid US sanctions by trading oil in yuan. …
The end of US dollar hegemony has been a consistent message from Russian President Vladimir Putin.
“Russia shares the BRICS countries’ concerns over the unfairness of the global financial and economic architecture, which does not give due regard to the growing weight of the emerging economies. We are ready to work together with our partners to promote international financial regulatory reforms and to overcome the excessive domination of the limited number of reserve currencies,” Putin said two months ago during the BRICs summit in Xiamen. http://www.livetradingnews.com/china-makes-move-usd-58731.html#.WfCSiohrwuU
China is looking to make a major move against the dollar’s global dominance …
China is the world’s top oil importer, and so Beijing sees it as only logical that its own currency should price the global economy’s most important commodity. But beyond that, moving away from the dollar is a strategic priority for countries like China and Russia. Both aim to ultimately reduce their dependency on the greenback, limiting their exposure to U.S. currency risk and the politics of American sanctions regimes.
The plan is to price oil in yuan using a gold-backed futures contract in Shanghai, but the road will be long and arduous. …
“The U.S. coverage is dropping off,” said Juerg Kiener, managing director and chief investment officer of asset manager Swiss Asia Capital. “Iraq, Russia and Indonesia have all joined in non-dollar trades.”
The petro-yuan is “well-advanced” and already “structurally in place,” Kiener added: “As China is an importer it will push harder to get yuan contracts.” https://www.cnbc.com/2017/10/24/petro-yuan-china-wants-to-dethrone-dollar-rmb-denominated-oil-contracts.html
Now notice something more recent about the Petro-Yuan:
Petro-Yuan Looms – How China Will Shake Up The Oil Futures Market
January 3, 2018
The “huge story”,as Graticule’s Adam Levinson called it, will, it appears, be a “wake up call” for the West that seems to happily be ignoring this potential bombshell that is China’s looming launch of domestic oil futures trading.
Additionally, Levison warns Washington that besides serving as a hedging tool for Chinese companies, the contract will aid a broader Chinese government agenda of increasing the use of the yuan in trade settlement… and thus the acceleration of de-dollarization and the rise of the Petro-Yuan.
“I don’t think there’s any doubt we’re going to see use of the renminbi in reserves go up substantially”
China has been planning this for a number of years and given rising tensions, now seems like a good time for China to flex a little. …
Even Bloomberg admits there are implications for the U.S. dollar’s well-established role as the global currency of the oil market, as Sungwoo Park sums up some of the key questions…
According to the Shanghai-based news portal Jiemian, which cited an unidentified person from a futures company, trading is expected to start Jan. 18. Multiple rounds of testing have been carried out and all listing requirements met. The State Council, China’s cabinet, was said to have given its approval in December, one of the final regulatory hurdles. …
Not any time soon, since paying for oil in dollars is an entrenched practice, according to some analysts. Shady Shaher, head of macro strategy at Dubai-based lender Emirates NBD PJSC, says it makes sense in the long run to look at transactions in yuan because China is a key market, but it will take years. Bloomberg Gadfly columnist David Fickling argues that China doesn’t have “nearly the influence in the oil market needed to carry out such a coup.” On the other hand, paying in yuan for oil could become part of President Xi Jinping’s “One Belt, One Road” initiative to develop ties across Eurasia, including the Middle East. Chinese participation in Saudi Aramco’s planned initial public offering could help sway Saudi opinion toward accepting yuan, which is used in only about 2 percent of global payments.
With regards that final point from Bloomberg, Pepe Escobar disagrees, recently concluding, the era of the petro-yuan is at hand…
Intractable questions referring to the US dollar as top reserve currency have been discussed at the highest levels of JP Morgan for at least five years now. There cannot be a more politically charged dossier. The NSS duly sidestepped it. …
The era of the petro-yuan is at hand. https://www.zerohedge.com/news/2018-01-03/petro-yuan-looms-how-china-will-shake-oil-futures-market
Regular readers of this page realize that I have warned about this for years. Notice something posted here back in April 2013:
Overseas steps keep being taken to eliminate the US dollar as the primary reserve currency in the world:
Rise of the PetroYuan
How the Chinese currency is replacing the U.S. Dollar in global oil markets
A growing number of nations want to replace the dollar …
What is happening in Asia, and elsewhere, shows that the world is moving away from the US dollar. All the arrangements that the Chinese and others are doing are making it easier for the ultimate break from the dollar. … The USA dollar will be replaced. Nations around the world are taking steps to replace it, and the USA itself continues to increase debt, which will help make the replacement of the US dollar biblically required. (Thiel B. Rise of ‘PetroYuan’ is a step in the demise of the US dollar. COGwriter, April 17, 2013)
And more recently, we put together a video:
The US dollar has been the world’s primary reserve currency for decades. Is this about to change? What is going on with the Chinese yuan and oil and gold? What do the BRICS nations want? What did Venezuela do? Do the Europeans want to dislodge the US dollar as the world’s primary reserve currency? Does US debt play any role? Does the Bible tell us what will happen to the USA and its dollar? What happens if the USA loses its status? Will gold outlast the US dollar? Dr. Thiel addresses those issues and more.Here is a link to our video: US Dollar being challenged by Gold-Petro-Yuan.
China has been trying to come up with systems, including with gold backing, to avoid the US dollar (watch US Dollar being challenged by Gold-Petro-Yuan).
It has long been my view (my written view since the last decade) that gold would be involved in backing a replacement to the US dollar.
US President Trump’s tough talk in various areas (like trade and banking sanctions) are encouraging nations like China, Russia, Pakistan, and Venezuela to take steps to protect themselves from aspects of his threats.
Although the gold-petro-yuan will NOT be the final replacement to the US dollar as the world’s primary reserve currency, the “petroyuan” is a step that will weaken US dollar dominance.
Dethroning the US dollar will cause massive economic problems for the USA. Much more than almost anyone believes. The standard of living in the USA has been raised/subsidized for years because of the status of the US dollar. That status is weakening. This will ultimately severely hurt the USA.
We are getting closer to the great tribulation (Matthew 24:21; see also When Will the Great Tribulation Begin?) and final time of the Gentiles (Luke 21:24) that Jesus spoke of.
Some items of possibly related interest may include:
The End of US Dollar Dominance Is the USA losing its economic status? What about the petro-gold-yuan? A related video is also available: US Dollar being challenged by Gold-Petro-Yuan.
The Times of the Gentiles Has there been more than one time of the Gentiles? Are we in it now or in the time of Anglo-America? What will the final time of the Gentiles be like? A related sermon is available and is titled: The Times of the Gentiles.
Eliminate the $100 bill? Various ones, like Harvard economist and Trilateralist Larry Summers have called for the elimination of the USD$100 bill and the 500 Euro note. In Asia, South Korea is heading towards cashlessness by 2020. Electronic currencies are information and subject to monitoring. Did something God inspired the Apostle John over 1900 years ago now able to come to pass? This is a video.
Collapse of the Euro and Dollar? War in 2020? Larry Edelson of Money and Markets described aspects of current economic difficulties and explained why he felt matters would get a lot worse. He said war, like World War III, could break out as early as 2020. What did he call the ‘granddaddy of all cycles”? Will matters go as he said? What does the Bible teach? Dr. Thiel provides biblical insights that secular sources often miss. This is a video.
Europa, the Beast, and Revelation Where did Europe get its name? What might Europe have to do with the Book of Revelation? What about “the Beast”? Is an emerging European power “the daughter of Babylon”? What is ahead for Europe? Here is a link to a video titled: Can You Prove that the Beast to Come is European?
European Technology and the Beast of Revelation Will the coming European Beast power would use and develop technology that will result in the taking over of the USA and its Anglo-Saxon allies? Is this possible? What does the Bible teach? Here is a related YouTube video: Military Technology and the Beast of Revelation.
When Will the Great Tribulation Begin? 2018, 2019, or 2020? Can the Great Tribulation begin today? What happens before the Great Tribulation in the “beginning of sorrows”? What happens in the Great Tribulation and the Day of the Lord? Is this the time of the Gentiles? When is the earliest that the Great Tribulation can begin? What is the Day of the Lord? Who are the 144,000? Here is a version of the article in the Spanish language: ¿Puede comenzar la Gran Tribulación en 2018 o 2019? ¿Es el Tiempo de los Gentiles? You can also see the English language sermon videos: The Great Tribulation from the Mount of Olives and Can the Great Tribulation begin before 2020? A shorter video is: Can the Great Tribulation begin in 2018?
Two Horned Beast of Revelation and 666 Who is 666? This article explains how the COG views this, and compares this to Ellen White. Here is a link to a prophetic video Six Financial Steps Leading to 666?
The Mark of Antichrist What is the mark of Antichrist? What have various ones claimed? Here is a link to a related sermon What is the ‘Mark of Antichrist’?
Mark of the Beast What is the mark of the Beast? Who is the Beast? What have various ones claimed the mark is? What is the ‘Mark of the Beast’?
Must the Ten Kings of Revelation 17:12 Rule over Ten Currently Existing Nations? Some claim that these passages refer to a gathering of 10 currently existing nations together, while one group teaches that this is referring to 11 nations getting together. Is that what Revelation 17:12-13 refers to? The ramifications of misunderstanding this are enormous. A related sermon is titled Ten Kings of Revelation and the Great Tribulation.
World War III: Steps in Progress Are there surprising actions going on now that are leading to WWIII? Might a nuclear attack be expected? What about WWIV? Does the Bible promise protection to all or only some Christians? How can you be part of those that will be protected? A related video would be Is World War III About to Begin? Can You Escape?
Does God Have a 6,000 Year Plan? What Year Does the 6,000 Years End? Was a 6000 year time allowed for humans to rule followed by a literal thousand year reign of Christ on Earth taught by the early Christians? Does God have 7,000 year plan? What year may the six thousand years of human rule end? When will Jesus return? 2026 or 20xx? There is also a video titled 6000 Years: When will God’s Kingdom Come? Here is a link to the article in Spanish: ¿Tiene Dios un plan de 6,000 años?
The Plain Truth About Gold in Prophecy. How Should a Christian View Gold? What do economists and the Bible teach about gold? Gold and silver may drop in value. Inflation/deflation? What do Christians need to know about gold?
Anglo – America in Prophecy & the Lost Tribes of Israel Are the Americans, Canadians, English, Scottish, Welsh, Australians, Anglo-Saxon (non-Dutch) Southern Africans, and New Zealanders descendants of Joseph? Where are the lost ten-tribes of Israel? Who are the lost tribes of Israel? What will happen to Jerusalem and the Jews in Israel? Will God punish the U.S.A., Canada, United Kingdom, and other Anglo-Saxon nations? Why might God allow them to be punished first? Here is a link to the Spanish version of this article: Anglo-América & las Tribus Perdidas de Israel. Information is also in the YouTube sermons titled Where are the Ten Lost Tribes? Why does it matter? and British are the Covenant People. A short YouTube of prophetic interest may be Barack Obama and the State of the Apocalypse.
Are You Being Called by God? Norman Shoaf wrote various points to consider.
When You Sin: Do You Really Repent? This is an article by Charles F. Hunting. A related sermon is Confess to God and truly repent.
The Gospel of the Kingdom of God This free online pdf booklet has answers many questions people have about the Gospel of the Kingdom of God and explains why it is the solution to the issues the world is facing. Here are links to three related sermons: The World’s False Gospel, The Gospel of the Kingdom: From the New and Old Testaments, and The Kingdom of God is the Solution.
China, Its Biblical Past and Future, Part 1: Genesis and Chinese Characters Where did the Chinese people come from? This article provides information showing that the Chinese peoples must have known about various accounts in the Book of Genesis up until their dispersion after the Tower of Babel. Here is a link to a version of this article in Spanish: ¿Prueban los caracteres chinos la exactitud de la Biblia?
China, Its Biblical Past and Future, Part 2: The Sabbath and Some of God’s Witness in China When did Christianity first come to China? And is there early evidence that they observed the seventh day sabbath?
India, Its Biblical Past and Future: Any Witness? The Bible discusses the origins of those of Indian heritage. This article quotes the Bible and also discusses some of the witness to India throughout history and what is happening in the 21st century (including those in Bangladesh, Pakistan, and Sri Lanka).
India and the Beast of Revelation 13 Do biblical, Catholic, and even Hindu prophecies suggest that many in India will follow, for a while, the Beast and False Prophet/Antichrist? Here is link to a related YouTube video Will People in India Worship the Beast of Revelation 13?
Asia in Prophecy What is Ahead for Asia? Who are the “Kings of the East”? What will happen to nearly all the Chinese, Russians, Indians, and others of Asia? China in prophecy, where? Who has the 200,000,000 man army related to Armageddon? A YouTube video of interest may be Is China THE Threat to the United States of America?
The Eurasian Union, the Kings of the East, and Bible Prophecy Is there a Eurasian union that will be formed? Is one being formed right now? Are any leaders working on that in the 21st century? Does the Bible teach that there will be a Eurasian union? If some type of Eurasian union is formed, who might it benefit and who will it destroy? A related video would be Is The Eurasian Union Rising?
Donald Trump in Prophecy Prophecy, Donald Trump? Are there prophecies that Donald Trump may fulfill? Are there any prophecies that he has already helped fulfill? Could a Donald Trump presidency be apocalyptic? A related video is titled: Donald: ‘Trump of God’ or Apocalyptic?
Trump Presidency Magic 8 Ball or Bible Prophecy? BBC reported that one might as well use a ‘Magic Eight-Ball’ to try to predict what will happen in the remaining time of Donald Trump’s presidency. What is a ‘Magic Eight-Ball’? Dr. Thiel not only explains that, but also briefly goes over 10 biblically-based warnings he wrote would happen if Donald Trump were elected that have already began to come to pass. He also goes over something he wrote back in 2008 that the Trump presidency is also helping lead to fulfillment. Should you trust Bible prophecy or not? Dr. Thiel says that Bible prophecy can be trusted, despite the view of skeptics and others that either overlook or despise the Bible. This is a video.
Donald Trump and America’s Apocalypse This 188 page book is for people truly interested in prophecies related to Donald Trump and the United States, including learning about several that have already been fulfilled and those that will be fulfilled in the future. The physical book can be purchased at Amazon for $12.99 from the following link: Donald Trump and America’s Apocalypse.
Donald Trump and America’s Apocalypse-Kindle Edition This electronic version of the 188 page print edition is available for only US$3.99. And you do not need an actual Kindle device to read it. Why? Amazon will allow you to download it to almost any device: Please click HERE to download one of Amazon s Free Reader Apps. After you go to for your free Kindle reader and then go to Donald Trump and America’s Apocalypse-Kindle Edition.
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