One of the things which has emerged from the recent G20 meeting is that there has been a clause which allows the IMF permission to issue S.D.R.s. (Special drawing rights)
China and Russia have repeatedly requested an alternative to the U.S Dollar as the reserve currency and the re-introduction of S.D.R.s is the first stage of that process
The S.D.R is operating in the same way as an international currency and although t is linked to the Dollar, Yen, Euro and Pound, it is outside the control of any of the member states.
This will inevitably further pressurise the already impoverished U.S. dollar and will likely accelerate the slide into dreaded hyper inflation.
China’s position in all this is to be watched carefully. they have held back from offering any more than a token amount to the 1.1 trillion bailout fund. However they have stated their willingness to offer a higher contribution on the acceptance of certain conditions.
Given that the bailout is destined to failure, we are going to be looking at a world currency reserve over which, China has an impressive hold.
Add to this, the fact that much of the U.S .s debt, is to China, and you can see how China’s emergence as a superpower is all but guaranteed.
God help us in the days to come.
In His love,