Pak Sahafat – One of the candidates of US President Joe Biden for the position of chief economist of the White House, without providing details, claimed that China is seeking to weaken the dollar as an international and highly traded currency.
According to Pak Sahafat News Agency’s report on Wednesday, quoted by Reuters, Jared Bernstein claimed yesterday that there is some evidence that China intends to weaken the dollar as an international currency.
He then asked the Congress to increase the US government’s debt ceiling to protect the value of the dollar as a reserve currency.
Bernstein, a member of the White House’s Council of Economic Advisers, said at the Senate Banking Committee meeting regarding his candidacy for the chairmanship of this institution, that American control over the world’s reserve currency has many advantages; including the ability to impose sanctions.
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He explained: Increasing the debt ceiling helps maintain the status of the dollar reserve currency and its value.
The economist did not further elaborate on his claim that China aims to weaken the dollar.
The US Treasury Department has been unable to blame any country for the economic situation prevailing in the US, but at the same time, it has emphasized that it will monitor China and 6 other countries to deal with any interference in the US economic situation.
At the same time, the ministry has criticized China for not publishing currency interventions and lack of transparency about the exchange rate mechanism.