We also need to be cautious—unbelievably, the U.S. really did this! On April 22, according to foreign media reports, the U.S. has blocked the shipment of U.S. dollars to Iraq, including $500 million in cash derived from Iraq’s oil revenues, with the intent to pressure Iraq into taking measures to curb Iran-backed militia groups. Moreover, the U.S. has suspended part of its military cooperation and counterterrorism funding to Iraq.
Clearly, in order to counter Iran, the U.S. has directly frozen Iraq’s funds held in American banks. This $500 million was originally revenue from Iraq’s oil sales. Unexpectedly, the U.S. simply seized and halted it without regard for Iraq’s sovereignty. The message sent by the U.S. to Iraq is clear: if Iraq doesn’t follow America’s orders, then Iraq won’t be able to access its U.S.-dollar assets held in American accounts.
Naturally, the fact that the U.S. dares to act this way toward Iraq serves as a warning to countries around the world—including us. It means that as long as your foreign exchange reserves, trade settlements, and overseas assets remain heavily dependent on the financial system dominated by the U.S., your national economic security will always be in someone else’s hands. Today they can freeze Iraq’s oil dollars under the pretext of counterterrorism and regional security; tomorrow, they could use vague accusations like “competition” or “threats” to do the same to other major powers. The truth is, in America’s eyes, credit and contractual integrity are worth nothing. We must prepare ourselves for potential U.S. defaults.
Original source: toutiao.com/article/1863147620683785/
Disclaimer: The views expressed in this article are solely those of the author.