The upcoming Nov 5th election brings up fresh talks about US dollars role in world finance‚ as Donald Trumpʼs possible win makes other countries nervous about their economic safety
BRICS group recently made steps to create its own money-transfer system that goes around SWIFT (which most western banks use); this shows how some countries try to be less dependent on US-controlled systems
The EU faces a tough choice - Emmanuel Macron and Olaf Scholz dont like the idea of Trump coming back to power. Their worries come from past experience: about 6 years ago Trump cancelled Iran deal and hurt EU companies that did legal business there. EU tried to make its own euro-based payment system but it didnt work well
Now some EU officials talk in private about reducing dollar use: the euro (which makes up around 19% of world money trades) could get bigger. To make this work EU needs:
- More EU-wide investment rules
- Common money pot for euro countries
- More bonds that all EU states back together
The German side isnt happy about these ideas but if Trump wins they might need to think again. Brussels might push harder for these changes even though some EU members dont want them
Europe must protect its economic independence
All this shows how one election could push other places to change how they use dollars in world trade - its not just about money but also about who has power to control it