EDITOR NOTE: The International Monetary Fund (IMF) is giving out $650 billion in Special Drawing Rights (SDR) allocation around the world. In late August 2021, Russia received around $17.5 billion from the SDR basket. This monetary infusion brings Vladimir Putin’s international gold and foreign currency reserves to a record high of $615.6 billion, which is now the fourth-highest gold and FX reserves in the world. The most worrisome part about this is that as the IMF is strengthening one of America’s greatest foes, we are now less than a month away from a move by the IMF that may cripple the U.S. dollar (USD). On September 30, the IMF is revaluing its global SDR basket and may remove the USD from its perch as the world’s reserve currency. This would tank the value of the USD and spell disaster for the U.S. economy while also being a huge win for IMF’s new friends, Russia and China.
MOSCOW, Sept 1 (Reuters) - Russia’s international gold and foreign currency reserves rose to a record high of $615.6 billion after receiving a tranche from the International Monetary Fund, the central bank said on Thursday.
The IMF gave Russia around $17.5 billion in its Special Drawing Rights in late August as part of the global $650 billion SDR allocation, its largest distribution of monetary reserves on record.
Russia’s gold and FX reserves, the world’s fourth-largest, rose by $20 billion in the week to Aug. 27, the central bank said in a weekly report.
Countries can use the SDR allocation to support their economies or swap them with other countries, but should not use the fiscal space to delay needed economic reforms or debt restructuring, the IMF said. (Reporting by Andrey Ostroukh; Editing by Alex Richardson)
Original post from Reuters