Ukraine war has many bitter lessons for the rest of the World. Being one of the biggest Wheat producing countries, it poses a food security challenge to the whole world. Russia-Sanctions pose a fuel and energy crisis. The adverse impact of war is not limited to warring nations but also engulfs the whole region or even the whole world. It is just beginning, and if the war is prolonged, the impact will be more intense and more visible.
Pushing Russia out of SWIFT is alarming for the rest of the world if the West is not happy, they can deprive any country of similar international systems, organizations, or facilities. Although, Russia has not suffered at all, and has been utilizing other options. In fact, Union Pay of China is a good alternative for international payments and transactions. Millions and billions are using Union Pay worldwide. Russia has conveniently switched to it, without suffering any major setback.
The US has frozen Russian assets and has also alarmed many wealthy people around the globe. They are sacred, and their assets can be frozen at any time if the West is not happy with their country or individuals. There is unrest among wealthy people who are thinking seriously to shift their assets and wealth to more safe and more secure places. Especially, the black money or corruption earned money parked in American and European Banks is no longer saved and they can be deprived of using their ill-gotten money. Even, legitimate and white money is in danger of confiscation.
The expulsion of Russia from the Human Right Council is also precedence that the West’s hegemony can take an impartial, irrational, and biased decision. The expulsion was haphazard and ill-designs by the West. The case should have been deliberated and Russia should have been given the chance to defend its case. Unfortunately, it was not meeting the merit and principles. It shows that the West is dictating International institutions and organizations. It has conveyed a clear message that such institutions are merely a tool of coercion and used to pressurize adversaries only.
As a matter of fact, sanctions, IFIs, FATF, IMF, World Bank, etc., all are tools of the West’s coercion and are frequently used to pressurize them to achieve their political goals. The recent case of Pakistan and Sri Lanka, are very much typical examples. They have no respect for the sovereignty of a nation or the legitimate democratic government of a country. They wanted to achieve their political agenda and goals by any means. There are no principles no rule-based order, as long as they achieve their goals, they can go to any extent. As a matter of fact, the West has been exposed already.
Under such circumstances, many countries are looking toward China, as an alternate option. China has created Asia Infrastructure Investment Bank (AIIB) and operating successfully. It is a rule-based principles Bank. Many countries in Asia are the beneficiary of AIIB and meet their Infrastructure development needs from it. Even, India, which opposes BRI and is in a state of a border war with China, is one of the largest beneficiaries of AIIB. It might not be a substitute for World Bank, but in Asia, it has been contributing a lot and meeting the needs of many countries.
After being victimized by IMF, Many countries are thinking of any other alternative. As matter of fact, IMF has damaged many countries like Argentina, Brazil, Egypt, Greece, Pakistan, Sri Lank, etc., it is a consensus-based opinion that IMF did little good and more damage to such countries. The IMF has been serving as a tool to control certain nations and used as a coercion tool.
It is suggested to create Asian Monetary Fund (AMF), dedicated to catering to Asian nations. It should be a non-partisan, merit, and rule-based institution. China has the requisite experience and capacity to take lead and the rest of the Asian nations will extend support. China has successfully launched AIIB, and it is time to launch Asian Monetary Fund (AMF) too. AMF may save many nations from the cruelty of IMF. The creation of AMF is a need of time, the sooner the better. In the future, on the same lines, African Monetary Fund may also be introduced.
Reference Link:- https://www2.apdnews.cn/en/item/22/0511/axjamdcm40e042aa6f10ca.html