New Delhi: On Sunday, Kotak Mahindra Bank CEO Uday Kotak reiterated his remarks in which he called the dollar the world’s biggest “financial terrorist”. Kotak clarified his meaning in a tweet, writing that “reserve currency has disproportionate power, be it nostro accounts, a 500 bps rate hike,” or emerging countries holding dollars for liquidity.
He clarified in a tweet that he was alluding to the extreme effect of reserve currency. According to Kotak, the US dollar’s status as a reserve currency gives it the power to regulate international trade, potentially keeping other countries in a dependent position.
“In a recent discussion on the US dollar, I inadvertently used the words “financial terrorist”, which I wish to correct. What I meant was that a reserve currency has disproportionate power, whether it is a Nostro account, 500 Be it bps rate hike, or emerging currency. Countries holding $ for liquidity,” Uday Kotak tweeted. ,ALSO READ: Actor Shah Rukh Khan fined for promoting BYJU’s false coaching promise,
According to the CEO of Kotak Mahindra Bank, a reserve currency has the authority to control funds in Nostro accounts, and anyone in the US can decide whether they can be withdrawn. ,ALSO READ: ChatGPT shows better empathy towards patients than doctors: Study,
He asserted that the search for a new reserve currency is now underway and that India has a chance to establish the Indian rupee as the global reserve currency.
Kotak, during his speech at the ET Awards for Corporate Excellence 2023, said that he feels the world is searching for a new reserve currency at this turning point in history. He claimed that other countries, including Europe, the UK, Japan and China, lacked any reason to designate their currencies as reserve currencies.
To establish the rupee as a reserve currency, Kotak underlined that India needs to focus on building strong institutions and a framework that is independent of the whims of others.
According to Kotak, it will take about 10 years to meet this target, and India needs to gain the confidence of other countries to make the rupee a reserve currency.
Uday Kotak calls US dollar ‘biggest financial terrorist’, later clarifies
New Delhi: On Sunday, Kotak Mahindra Bank CEO Uday Kotak reiterated his remarks in which he called the dollar the world’s biggest “financial terrorist”. Kotak clarified his meaning in a tweet, writing that “reserve currency has disproportionate power, be it nostro accounts, a 500 bps rate hike,” or emerging countries holding dollars for liquidity.
He clarified in a tweet that he was alluding to the extreme effect of reserve currency. According to Kotak, the US dollar’s status as a reserve currency gives it the power to regulate international trade, potentially keeping other countries in a dependent position.
“In a recent discussion on the US dollar, I inadvertently used the words “financial terrorist”, which I wish to correct. What I meant was that a reserve currency has disproportionate power, whether it is a Nostro account, 500 Be it bps rate hike, or emerging currency. Countries holding $ for liquidity,” Uday Kotak tweeted. ,ALSO READ: Actor Shah Rukh Khan fined for promoting BYJU’s false coaching promise,
According to the CEO of Kotak Mahindra Bank, a reserve currency has the authority to control funds in Nostro accounts, and anyone in the US can decide whether they can be withdrawn. ,ALSO READ: ChatGPT shows better empathy towards patients than doctors: Study,
He asserted that the search for a new reserve currency is now underway and that India has a chance to establish the Indian rupee as the global reserve currency.
Kotak, during his speech at the ET Awards for Corporate Excellence 2023, said that he feels the world is searching for a new reserve currency at this turning point in history. He claimed that other countries, including Europe, the UK, Japan and China, lacked any reason to designate their currencies as reserve currencies.
To establish the rupee as a reserve currency, Kotak underlined that India needs to focus on building strong institutions and a framework that is independent of the whims of others.
According to Kotak, it will take about 10 years to meet this target, and India needs to gain the confidence of other countries to make the rupee a reserve currency.