Ukraine VS Russia:A story of Global Power Polarity shift and destruction of American mythical Bubble
NRI Herald Australia, 07 March 2022
There are only 3 big businesses in the world weapons, pharma and energy (oil, gas, and EV)....whoever controls them, runs the world.....America and its allies used to have a monopoly on all of them till date…..but now this control is going to multiple players….they will run the world ahead.
After the 2nd World War, we were living in the Bipolar World, where the USSR was on one side and America was on the other. By 90's, the USSR disintegrated and then America's rule started running in the world. The last 30 years we have lived in a unipolar world.
All the big institutions in the world during Unipolar world, like UN, UNSC, WHO, Media, IMF, World Bank..... all were in America's grasp.... America made many countries its Protectorate to make its dominance..talked about giving support to these countries to keep them in its court.
Ever Expanding NATO is a threat to the whole world.
America spread NATO and used it to attack many countries whenever it felt like and made multiple excuses while dealing with various countries (Iran, Iraq, Syria, Afghanistan and many more). No one asked questions, No action was taken against America!
But there have been some changes in the last 3 decades. China has emerged as an alternate world power, Russia is strong again, thanks to Putin's charismatic leadership.At the same time India is also emerging as a big power. We are slowly becoming a Multi Polar world.
Now come on the issue of Russia-Ukraine. Russia has invaded Ukraine, Whether it is right or wrong, we will not talk about it at the moment. Think of this event as a watershed moment, and look at its effects.
American Dream Is Over.
When Russia attacked, the strongest reaction came from NATO and America....they imposed all kinds of sanctions on Russia, hoping that the world would follow them, as it had been doing. But this myth was broken in UNSC & UNGA as BRICS and SCO countries neither supported Russia nor contradicted. This is a very big reason due to which NATO countries did not participated in this war as they don't have public support anymore and maybe they don't even have the strength to fight any big country as Russia is not Syria, Libya, Afghanistan or Iraq.
Ukraine was made a scapegoat, due to which many countries have come back to their practical senses including NATO countries, Japan and Taiwan. They have started getting the feeling that America cannot protect them, and they will have to protect themselves. Now these countries will also buy nuclear weapons, will also take missiles, and will also strengthen their air defense.
Germany has made an unexpected increase in its defense budget. In a historic announcement to parliament, the German chancellor, Olaf Scholz, has said a fund of €100bn (£85bn) will be set up immediately to boost the strength of the country’s armed forces, as he also announced a sustained increase in defence spending over the coming years.
“Germany’s historical responsibility” to ensure that Vladimir Putin “does not turn the clocks back”, says the German Chancellor
Apart from this, other European countries like Sweden, Romania, Latvia, Finland, Netherlands and UK have also talked about increasing their defense budget… you know the meaning of this?
This means that the world no longer trusts America. You read Japan's statement, they have said that America should now make it clear how it will save Japan or Taiwan in any bad situation.
“In Nato, Germany, Belgium, the Netherlands and Italy take part in nuclear sharing, hosting American nuclear weapons,” Shinjo Abe (Ex PM Japan) said in a TV interview, according to Nikkie Asia.
“We should firmly consider various options when we talk about how we can protect Japan and the lives of its people in this reality.”
Because of this, the shares of Europe's well-known defense manufacturers BAE Systems (UK), Rheinmetall (Germany) and France's Thales are skyrocketing.
New Financial World Order
Due to the sanctions imposed on Russia, the process of creating an alternative financial system will be accelerated. Just today Russian banks have switched to China's Unionpay and India's UPI is at advance stage of talks ...because of America's Visa and Mastercard refused to offer services in Russia.
Several Russian banks said on Sunday they would soon start issuing cards using the Chinese UnionPay card operator's system coupled with Russia's own Mir network, after Visa and MasterCard said they were suspending operations in Russia. The Reserve Bank of India and the government are in constant touch over developments as they look to contain the fallout and ringfences the economy. Any decision on the issue will be taken at the topmost political levels in consultation with the external affairs ministry.
Russia has also been taken out of Swift, so it is obvious that Russia will see an alternative..... in this China's CIPS can help to an extent..... but in the long term a bigger system will be necessary. ...maybe BRICS and SCO countries may develop some new FINTECH system, because the sanctions have taught them a lesson, that self-reliance is the most important.
Tomorrow, to compete with ADB or IMF, the scope of the BRICS bank should be increased, and funding should be given so that these countries do not have to look towards Western Financial Institutions. BRICS nations have understood that everything can be weaponized.....from your ATM card to your smartphone.....anything can be shut down at any time.
It is also interesting to know here, that the countries that have imposed all kinds of restrictions on Russia have not imposed any sanction on its oil and gas..... because they get the cheapest from Russia.
Russia does not seems to be in any Panic.
So many sanctions have been imposed on Russia, but the government there has not shown any panic so far. Russians had been preparing for this day for so long.Today all kinds of companies are migrating from Russia.....be it IT, media, manufacturing, oil and energy.....all are leaving Russia.
Here's the question, who will benefit from this? The space which has been vacated by western companies can only be filled by the countries like China and India. And when all these countries will make a parallel system, they will start trading on it..... obviously their currency will not be dollars. If Russia has to buy something directly from China or India then Dollar will not be needed. These countries will exchange Yuan or Rupee with ruble and when these countries start doing this, then the biggest loss will be of dollar because of which America's dominance will be further ruptured.
The crude had crossed $130, the highest in last 14 years. The oil lobby is making a killing. The oil price in China had already skyrocketed and In india is just waiting to be revised, but According to sources familiar with the development, Russian oil firms are offering 25-27 per cent discount to the dated Brent crude prices.
Overall the story is that, the next 5-10 years will be very interesting.....because we will see the world transformation....you may see unexpected alliances...you will see Russia, China, India together while Israel, Arab, Iran can also appear in a group for some special need.