"End of dollar era," ECB head predicts Euro supremacy in future
Christine Lagarde says dollar-based global economic system is falling apart: Euro could replace dollar as global reserve currency
The dollar-dominated global financial system is disintegrating, according to Christine Lagarde, President of the European Central Bank (ECB), reported 24NewsHD TV channel on Wednesday.
Speaking at a school event, Lagarde declared that the time has come for the euro to be promoted as a global reserve currency, offering a new path forward for global monetary balance.
She acknowledged that while the economic system led by the United States over the past 80 years has benefitted the European Union, the current financial infrastructure, shaped by the dominance of the U.S. dollar as a reserve currency, poses a risk to Europe’s economic stability.
Lagarde emphasised that the euro has the potential to become a viable alternative to the dollar, providing a means to sustain global economic equilibrium amidst growing geopolitical and financial uncertainties.
With increasing conversations around de-dollarisation and the shifting dynamics of global trade, her remarks underline Europe’s ambition to redefine its monetary influence on the global stage.