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Thursday, August 30th, 2018

Europe Is Working On Alternative To SWIFT For “Financial Independence” From The US

Author:     Tyler Durden
Source:     ZeroHedge
Publication Date:     Mon, 08/27/2018 - 11:23
 Link: Europe Is Working On Alternative To SWIFT For “Financial Independence” From The US
Stephan:   Over the months of his presidency, Donald Trump has become a pariah both internationally and, except for his christofascist base, domestically. That alone is a humiliating development for the United States. But that is just the beginning. Because of Trump's vulgar and dishonest behavior, his calling our European allies "foes", his disdain for NATO, and his perceived untrustworthiness the European nations led by Germany and France are beginning to discuss and plan for a world in which the U.S. is no longer the central power. Here is a report on the economic aspects of what such a development could mean.

Donald Trump at the G7 meeting in May with Donald Tusk, Justin Trudeau, Angela Merkel and the Italian prime minister, Paolo Gentiloni. The US president has persistently low ratings across Europe.
Credit: Evan Vucci/AP

In the aftermath of a report that Germany was working on a global payment system that is independent of the US and SWIFT, on Monday Germany and France said they’re working on financing solutions to sidestep U.S. sanctions against countries such as Iran, including a possible role for central banks, Bloomberg reported.

“With Germany, we are determined to work on an independent European or Franco-German financing tool which would allow us to avoid being the collateral victims of U.S. extra-territorial sanctions,” French Finance Minister Bruno Le Maire said Monday during a meeting with press association AJEF. “I want Europe to be a sovereign continent not a vassal, and that means having totally independent financing instruments that do not today exist.”

The discussions, which also involve the U.K., are a signal that European powers are trying to get serious about demonstrating a greater level of independence […]

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