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The rise of national currencies against dollar hegemony

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Within the political, diplomatic, and ideological change and transformation in the global system, a monetary process is also taking place. For a long time under the US-centered Western hegemony, Western currencies were the most widely used money and reserves in the world. After the Second World War, the US dollar completely dominated the global economic and financial system. While the beginning of dollar hegemony in the world brought incredible privileges for the US, for the non-Western world it was a master-slave relationship. However, with the 2000s, a non-Western change and transformation on all fronts began to manifest itself in the monetary and financial sphere as well. While the dollar accounted for 72% of international reserves before 2000, it fell below 59 percent in 2023. With the Russia-Ukraine war, the rate of decline of the dollar in reserves increased 10 times more. The dollar in world reserves is now at its lowest level in 27 years. Again, while nearly 70 percent of global trade was carried out in dollars in the early 2000s, today it has declined to around 40%. Although the dollar is still the most widely used currency and reserve in the world, today it is in an indisputable decline. With this decline, the US, the only country in the world with the privilege of printing money, is today the most indebted country and nation in the world.

Especially with the Russia-Ukraine war, the dollar hegemony and the financial system built by the US entered a rapid breakdown process. Because the seizure of the currency reserves of non-Western countries by the US and Europe, the seizure of money, houses, cars, ships and airplanes of private enterprise, as well as the seizure of these reserves despite court rulings, created a great shock. At the same time, the exclusion of non-Western countries from the US-centered financial system was one of the developments that frightened the whole world. This is why the dollar and the Western financial system came to be seen as a dangerous and aggressive tool in the non-Western world. In fact, the use of the dollar as a weapon by American power was the most common type of attack on non-Western actors. In other words, this could happen to anyone who disagreed with Western actors. The rules-based liberal international order established by Western actors was, as usual, violated by the West. What happened showed that free capital and free finance, in other words liberal values, were pushed into a corner. This frightening scenario could happen at any time to all non-Western nations and states. As a result of these events, a new process has begun, especially in the non-Western world. It became a trend again for states to trade in their national currencies.

The yuan, the national currency of China, the world’s largest creditor and second largest economy, has taken the lead in this regard. The yuan became the most traded currency in Russia, while the dollar declined. China and Russia have managed to reach 80% of their trade payments in yuan and rubles. Israel, an indispensable ally of the United States, has added the Chinese yuan to its reserves while reducing the US dollar and the European Union euro. France became the first European country to use the yuan in its trade with China. The yuan was also used in trade between China and the United Arab Emirates. Moreover, it is foreseen that payments in the energy exchange between Russia and Pakistan will most likely be paid in yuan. In addition, Brazil and China started to trade in their national currencies. As a global breakthrough, the petroyuan alternative to petrodollars in Saudi Arabia could be activated at any moment. Even petroruble and petrorupee discussions are on the agenda. With this agenda, Saudi Arabia’s first action was to decide to sell oil in local currencies. Thus, Saudi Arabia signed an agreement to sell oil to Kenya in Kenyan shillings instead of dollars.

The Russian currency, the ruble, is now the dominant currency of the Eurasian Economic Union. Turkey, among many other countries, has started to use rubles in its trade. On the contrary, the trend towards the Turkish lira is on the rise on the Moscow stock exchange. It should not be forgotten that Turkey has also started using the yuan in its trade alongside the ruble. The Indian currency, the rupee, is quietly rising. India has signed agreements with 20 countries, including the UK, Germany, Israel, Russia and Singapore, to use rupees in trade. Bangladesh has also decided to use the national currency instead of the dollar with India. Finally, India announced an agreement with the United Arab Emirates to use rupees in trade.

Brazil, the giant power of Latin America, called for a transition to a national and common currency instead of the dollar in Latin America. Brazil and Argentina are working on a common currency. In addition, the Bank of Brazil became the first Latin American bank to join the Chinese payment system CIPS, one of the alternatives to the Western payment system. At the same time, the Brazilian Central Bank announced that the yuan has overtaken the euro to become the country’s second largest international reserve currency. Even Iran and Indonesia agreed to use their national currencies for trade. Let’s not forget that Iran is being paid for oil by India and China in rupees and yuan.

Non-Western global and regional organizations are also making critical moves in this regard. The Association of Southeast Asian Nations (ASEAN) has begun preparations to switch from dollars, euros and sterling to national currencies in financial transactions. Malaysia has also proposed an Asian Monetary Fund. The BRICS organization has also accelerated its efforts for a common currency. The Shanghai Cooperation Organization brought the use of national currencies to the agenda at its last summit. In fact, the total economic size of Asia, Latin America and Africa has surpassed North America and Europe. This has naturally increased interest in the national currencies of the emerging economies of these countries.

As you can see, the process of de-dollarization, or abandoning the dollar, is being followed with interest around the world and is highly accepted. Today, more than 60 countries and nations trade in their national currencies. While there is no doubt that this will increase day by day, it has become clear that we can no longer speak of the hegemony of a single currency. Autarkic and hierarchical American monetary policies have been a burden for non-Western nations and are no longer valid. Instead of a single Western monetary reserve dominating the world, a multi-currency reserve is desired. Therefore, the decline of the dollar hegemony is not only the rise of the yuan, but also the globalization of non-Western currencies, that is, the establishment of a non-Western multi-currency order, is the basic reality of the future. Of course, this process will be long and arduous.

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India’s space sector: A launchpad for global partnerships

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Ambassador Gurjit Singh, former Indian Ambassador to Germany, Indonesia, Ethiopia, and the ASEAN and African Union missions

Growing competition in outer space provides India with a unique opportunity to shape a narrative in which collaboration, rather than confrontation, drives space exploration. Recognised as a trustworthy and cost-effective spacefaring nation, India is now well placed to transform its technological advances into enduring international partnerships that contribute to scientific progress, economic growth, and sustainable development.

India’s journey into space has been distinctive. Unlike many space programmes that emerged from Cold War rivalries, India’s programme was conceived as an instrument of national development. Dr. Vikram Sarabhai anchored India’s space vision in practical applications that would improve the lives of ordinary people. Under his leadership, satellites were developed to strengthen communications, weather forecasting, disaster management, healthcare, agriculture and education. This development-oriented philosophy remains central to India’s space programme and resonates strongly with the needs of countries in the Global South, which seek practical applications of space technology rather than prestige alone.

Today, India’s achievements extend  beyond developmental applications. The Chandrayaan missions, the Mars Orbiter Mission, the Aditya-L1 solar observatory, and the forthcoming Gaganyaan human spaceflight programme have established India as a nation capable of executing sophisticated and reliable space missions. Chandrayaan-3’s successful soft landing near the Moon’s south pole placed India among an exclusive group of space powers while demonstrating that world-class innovation can be achieved at comparatively modest cost.

India’s growing credibility comes at a time when the global space economy is expanding rapidly. Valued at over US$600 billion today and projected to approach US$1.8 trillion by 2035, the sector is increasingly driven by commercial activity in satellite communications, Earth observation, navigation, climate services, broadband connectivity, and emerging fields such as in-orbit servicing and lunar exploration. Many countries aspire to participate but lack indigenous capabilities. They seek dependable long-term partners rather than merely launch providers.

India possesses the capabilities to meet these requirements. The liberalisation of the space sector in 2020 transformed the ecosystem by opening it to private participation. The establishment of the Indian National Space Promotion and Authorisation Centre (IN-SPACe), the expanding commercial role of NewSpace India Limited, and the growth of private enterprises have created one of the world’s most dynamic emerging space ecosystems. Indian startups are developing launch vehicles, satellite platforms, geospatial applications and propulsion technologies that are attracting global investment and customers. Companies such as Skyroot Aerospace, Pixxel and Agnikul Cosmos have demonstrated that Indian private enterprise can compete internationally in advanced space technologies.

The next step is to internationalise this ecosystem.

Rather than positioning itself only as a low-cost launch destination, India will offer comprehensive partnerships encompassing satellite design, launch services, mission operations, ground stations, astronaut training, capacity building and downstream applications in agriculture, disaster management and maritime security. Such integrated partnerships would be valuable for countries across the Global South and the Indo-Pacific seeking affordable, customised and reliable technologies to meet their development priorities.

India has demonstrated the diplomatic value of such cooperation. Through the South Asia Satellite, it provided communication and developmental benefits to neighbouring countries. Indian launch vehicles have successfully placed hundreds of foreign satellites into orbit for governments, universities and commercial operators around the world. India’s decision to join the Artemis Accords reflects its willingness to participate in the peaceful exploration of the Moon through international collaboration. Cooperation with  NASA, the European Space Agency and JAXA has strengthened India’s scientific and technological capabilities.

These partnerships reinforce India’s standing as a leading voice of the Global South. India offers development partnerships based on affordability, reliability and mutual respect rather than creating technological dependence. Space cooperation has therefore become an increasingly important instrument of Indian diplomacy, strengthening bilateral relationships while delivering tangible developmental benefits.

To realise its full potential, India will aim to sustain the momentum of reform. Faster regulatory approvals, greater access to venture capital, stronger intellectual property protection, and closer collaboration among research institutions, industry and academia will be essential. Public procurement policies would continue supporting Indian startups, enabling them to scale up, innovate and integrate into global supply chains.

India is positioned to play a larger role in shaping the governance of outer space. Orbital congestion, space debris, responsible resource utilisation and equitable access to emerging space opportunities are becoming pressing international concerns. As space activities expand, there will be an increasing need for countries capable of building consensus on responsible norms and practices. India’s long-standing commitment to the peaceful uses of outer space, combined with its growing technological capabilities, equips it to contribute meaningfully to the development of rules that promote transparency, sustainability and equitable access.

The coming decade will determine not only which countries lead in space but also how space is governed. With its scientific capabilities, entrepreneurial ecosystem and international credibility, India is uniquely placed to bridge the gap between established and emerging space nations. By building collaborative partnerships founded on inclusivity, mutual benefit and innovation, India can transform its space programme into a major pillar of its global engagement.

In an increasingly divided world, India’s space sector offers a powerful reminder that the greatest achievements in space are those that bring nations together. That may well become India’s most enduring contribution to humanity’s next frontier.

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Great powers and the fierce rivalry in Africa

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In tandem with the retreat of US imperialism and the erosion of its hegemonic capacity, the rivalry among the world’s great powers is intensifying across vast geographies and divergent fronts alike. From Africa to Central Asia, from electric vehicles to artificial intelligence, an acute contest is unfolding—most conspicuously between the United States and China.

History instructs us that wherever great power rivalry takes root, peace remains elusive. Stability cannot endure there. Wars, internal conflicts, coups d’état, and the mass migrations they inevitably trigger dominate the horizon. Nor do great powers desire the cultivation of participatory democracy, human rights, the rule of law, or class consciousness in these lands. Instead, they bolster dictatorships, authoritarian regimes, totalitarian systems, and repressive governance. The imperialist powers harbor no concern for the scarcity of water, drought, or famine in Africa. Their focus is solely fixed on exploitation, plunder, pillaging the resources of the nations upon which they descend, and capturing their domestic markets.

Africa holds singular importance in this context. It commands attention simultaneously by virtue of its sheer expanse, its demographic weight, and its subterranean wealth. In the rivalry across this ancient and impoverished continent, the United States and China lead the vanguard. Russia, too, makes notable maneuvers, though on a less extensive scale. Between the United States and China, the race is particularly fierce regarding the extraction, processing, and conveyance of subterranean resources to world markets.

Africa—endowed with abundant mineral wealth, a population approaching 1.5 billion, and critical strategic importance along global trade routes—whet the appetites of capitalist, advanced, industrialized, imperialist states as a vast, populous, and expanding market. Geopolitically as well, its position cannot be ignored. Africa’s wealth in rare earth elements, precious minerals such as diamonds and gold, and strategic minerals indispensable to advanced technologies—notably copper, cobalt, and lithium—is indisputable.

AFRICA CARRIES NO WEIGHT IN GLOBAL POLITICS

Unlike other continents such as Europe, Asia, or the Americas, Africa possesses no single country that commands prominence in global politics or the world economy. Nor does Africa host an alliance, international organization, or bloc of comparable global stature. In the Americas, there stands a superpower: the United States. In Asia, there are great powers: Russia and China, with India also ascending. In Europe, major, consequential powers endure: the United Kingdom, France, and Germany. Yet on the African continent, no such states exist. What exists in Africa is the rivalry of non-African great powers. Even the 55-member African Union, the institutional body of the continent’s nations, remains far from exerting any real influence—not only in global politics, but even across the African continent itself.

Over the past fifteen to twenty years, Africa has undergone substantial upheavals. Armed conflicts, civil wars, and violence have become pervasive. From Ethiopia to Somalia, Libya to Sudan, armed hostilities have claimed countless lives, destabilized governments, and provoked massive waves of displacement. Terrorist organizations have seized upon these conditions as an opportune opening, and the great powers, in turn, have instrumentalized these terror networks.

In Africa, former nineteenth- and twentieth-century colonial powers such as Britain and France indulge in reveries of bygone eras. They attempt to assert themselves, yet their efforts prove futile. Germany, as Europe’s leading economic, industrial, and technological powerhouse, takes a keen interest in Africa; yet despite this attention, its institutional knowledge and historical experience regarding the continent pale in comparison to those of the British and French. Italy strives to act, but lacks the requisite capacity. The Netherlands and Belgium, once deeply entrenched in Africa, are far removed from their imperial past. Spain and Portugal assert no claim to global primacy. All of these nations languish, to borrow Ahmet Hamdi Tanpınar’s phrase, in “a vague longing for a bygone past.”

China, well aware of Africa’s significance, is investing heavily across the continent. It stands as Africa’s largest trading partner and the primary destination for the continent’s exports. In the provision of loans, credit facilities, and grants to African states, it has outpaced Western institutions. China’s investment and foreign aid capacity, economic leverage, and extensive commercial ties naturally consolidate its political and diplomatic influence across Africa, elevating its visibility and prestige. Under the auspices of the Belt and Road Initiative, Beijing continues to finance large-scale infrastructure investments as well as major communications and transport projects.

THE FEROCITY AND DIMENSIONS OF THE RIVALRY

It is, of course, impossible for Russia to mount massive economic investments, conduct extensive aid operations, or sustain the volume of trade in Africa that China commands. Consequently, it seeks to distinguish itself by guaranteeing the security of local leaders, corporate enterprises, and ruling elites, relying predominantly on private military companies (the operations of the Wagner Group being a case in point). Russia has deployed mercenaries to Mali and the Central African Republic.

The United States, for its part, endeavors to counter China’s expanding influence, economic footprint, visibility, and public diplomacy initiatives in Africa, while simultaneously laboring to reinforce its own economic and political ties with African states. One need only recall that the United States, having intervened in Libya in 2011 through NATO, has directly struck ISIS targets in Somalia. The strategic depth of Washington’s relationship with Cairo is likewise well known.

The United States, China, and Russia also stand out prominently in arms sales to African nations. As the great power rivalry on the continent grows ever sharper, the spectrum of contestation widens accordingly. Cultural rivalry is superimposed upon economic, political, and military dimensions. Because every great power seeking to expand its sphere of influence and reach is determined to block the advance of its competitors, Africa serves both as the stage for and the witness to this unsparing contest. Some experts explain this rivalry through the lens of a new strain of colonialism; others account for it by pointing to the inherent nature, complexity, and multifaceted character of competition between imperialist metropoles.

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The women who refuse to be erased: On Japan’s surrender anniversary, the fight over wartime sexual slavery continues

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BUSAN, South Korea — On the day Japan marks the 81st anniversary of its surrender in World War Two, a conference room in Busan’s city council building has become the latest front in a battle over memory.

Allan Wilson, Journalist

Last month, on 23 July, academics, activists and lawmakers gathered here for a symposium on one of the war’s most painful legacies: the estimated tens of thousands of women — euphemistically labelled “comfort women” — forced into sexual slavery by the Imperial Japanese Army. The event was co-hosted by the Carter Human Rights Center’s Asia division and the Korean Women’s Forum.

“The records of the Japanese military’s comfort women are historical assets that the international community must preserve together,” Nam Myung-sook, the Busan city councillor who co-organised the symposium, told the gathering. “Social consensus must be broadened.”

Her words were aimed at more than the audience in the room.

For three decades, survivors and their advocates have pressed Japan for a full and unequivocal accounting. They have met a familiar pattern: moments of apparent progress — the 1993 Kono statement acknowledging military involvement, the 2015 bilateral agreement with South Korea — followed by retreat. Japanese officials continue to dispute the term “sexual slavery.” Textbooks soften the language. Senior politicians visit Yasukuni Shrine, where convicted war criminals are honoured alongside the dead.

The symposium came as UNESCO’s World Heritage Committee convened in Busan, and the timing was deliberate. One of the gathering’s stated goals was to revive the push to have comfort women records inscribed on UNESCO’s Memory of the World register — an effort Japan has repeatedly blocked.

“Our aim is to reaffirm the historical facts of comfort women (受害) to the international community and explore directions that contribute to peace and human rights,” said Yu Ying-mo, senior adviser to the Carter Human Rights Center’s Asia region, in remarks prepared for the event.

A statue, a warning

The symposium also addressed an incident that has become a diplomatic flashpoint: the recent removal of a comfort women memorial statue in Taiwan.

The statue, one of dozens erected across East Asia and beyond, was taken down in recent months. Organisers in Busan described the removal as “an erroneous approach that erases historical wounds and weakens collective memory,” according to the symposium’s programme.

For advocates, the Taiwan case illustrates what happens when political pressure is allowed to dictate historical memory. “Statues, memorial halls, and archives related to comfort women are important spaces of memory that testify to the victims’ suffering and history,” the Carter Human Rights Center said in its written address. “They must be respected.”

Dozens of comfort women memorials now stand in cities from Seoul to San Francisco to Berlin. Each has become a site of diplomatic friction: Japan’s government has consistently objected to them, arguing they perpetuate what it calls an inaccurate narrative.

The shrinking window

Time is running out. Of the few hundred women who came forward in the 1990s, the number of surviving registered victims in South Korea has dwindled to single digits.

This demographic reality has injected new urgency into the preservation effort. Shim Ok-ju, a research professor at George Mason University Korea, told the symposium that the focus must now shift from oral testimony — soon to be lost — to documentation and education.

Seo Kyung-soon, a professor at Pukyong National University, presented findings from the so-called “Gwanbu Trial” records — a series of postwar legal proceedings in which comfort women sought compensation through Japanese courts. The documents, she argued, contain incontrovertible evidence of state orchestration.

A designated discussant panel followed, bringing together Kim Tae-wan, a political science professor at Dong-eui University; Kim Kyung-hee, an independent researcher; and Ahn Jun-young, a journalist from the Busan Ilbo newspaper. The format was designed to bridge academia and public consciousness — to test whether scholarly findings could survive the scrutiny of working journalists and political scientists.

The international dimension

The comfort women issue has never been purely bilateral. In 1996, the UN Special Rapporteur on violence against women concluded that the system constituted “military sexual slavery.” In 2022, the UN Committee on the Elimination of Discrimination against Women urged Japan to “ensure that the issue is accurately reflected in school curricula.”

Yet the gap between international consensus and Japanese government policy remains wide. Prime ministerial statements offer “apologies and remorse” but stop short of accepting legal responsibility. Reparations have come from private funds, not the state.

For organisers of the Busan symposium, the path forward runs through multilateral institutions. UNESCO recognition, they argue, would make historical revisionism harder to sustain. But Japan has made clear it will oppose any such move, as it did when Chinese documents related to the 1937 Nanjing Massacre were inscribed in 2015.

“Facing history squarely and respecting it is a fundamental value that the international community should share,” the symposium’s organisers concluded.

This 15 August, as Japan observes its National Memorial Service for the War Dead, the women who survived — and those who did not — will be remembered in rooms like the one in Busan. Their numbers are dwindling. The question is whether their story will outlast them.

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