Valentin Katasonov: "When the currency turns into nothing, the ruble will turn into dust"

28 июля 2020, 17:10
“The Russian ruble is a repainted foreign currency,” says Valentin Katasonov. In an interview with the ROY TV YouTube channel, the Doctor of Economics spoke about the impending financial tsunami and how Russia can try to protect itself from it.

“I can explain it in a very simple way: now the money from the printing press are flying with a chuiffing past the commodity markets, past the real sector of the economy, and go straight to the financial markets.

And there is raging a real hyperinflation called "inflation of stock market bubbles".

And if we look at the real book value of a company and compare it with the market capitalization, we will see that sometimes the second indicator exceeds the first by tens, or even hundreds of times.

The US is not going to cover its obligations. Experts do not exclude that their national debt will reach $ 30 trillion by the end of the year. And maybe it will be more, I don't know.

They already have nothing to lose. You can't drive this genie back.

And when it all bursts, it will go all over the world.

The Russian ruble will depreciate immediately. It will turn to dust.

If you look at the balance sheet of the Central Bank of the Russian Federation, you will see that the Russian ruble, which is in liabilities, in liabilities, on the left side of the balance sheet, is backed by the right side of the balance sheet. And the right side of the balance sheet of the Central Bank is assets, and they consist of 80% of currency.

And if the currency turns into nothing, then the ruble will turn into nothing.

Because, as I repeat from time to time, the Russian ruble is a repainted foreign currency.

Over the course of 20 years, I have heard the mantra about the de-dollarization of the Russian economy a million times.

But, excuse me, de-dollarization starts, first of all, from the balance sheet of the Central Bank.

Remove foreign currency from the assets of the Central Bank, here you will be the main step in the part concerning de-dollarization. And so, sorry, it's all just blah blah blah.

How can we protect ourselves from the financial tsunami?

We need the nationalization of the Central Bank. We need the Central Bank to remove the currency from its assets - this does not mean that it should simply throw it out, no.

This currency should be used to cover a variety of obligations, as well as for the purchase of vital goods, both consumer and investment.

That is, ultimately, we need to isolate ourselves.

A financial tsunami is coming. The wave is, say, 50 meters high.

And the only way to protect your territory from this wave is to put reinforced concrete dams. It's figurative.

Speaking specifically: these are bans on cross-border movement of capital, bans on the free movement of goods, this is simply the closure of the border.

Because half of the currency and half of the goods in our country travels through smuggling routes, this is a special big topic. Etc.

In general: closure and self-sufficiency. These are the two most important principles for us now".

You can watch the entire interview with Valentin Katasonov here.

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