The Executive Director of the International Monetary Fund warns: Is there a possibility of the collapse of the global monetary system? , 4 MAY

  The Executive Director of the International Monetary Fund warns: Is there a possibility of the collapse of the global monetary system? , 4 MAY

The Executive Director of the International Monetary Fund, Alexei Mugin, said on Friday that he does not rule out the possibility of the collapse of the current global monetary system.

In an interview with the "Novosti" agency, Mogin asked: "Is there a possibility of the collapse of the global monetary system? It seems to me that such a possibility actually exists."

The expert pointed out that the current system relies on confidence that dollar assets are safe, but central banks, institutions, and even families have already begun to sell dollar assets and buy gold, due to growing lack of confidence in their safety.

Mougins warned of chaos in the global economy, noting that "once this confidence is lost, a period of chaos will occur in the global economy."

Reports issued by the International Monetary Fund warned last April that the debts of the United States and China pose a threat to global finances.

The rise in US public debt and the dependence of global trade on the dollar raises concern among experts and a number of countries around the world.

Data issued by the US Treasury Department earlier this month revealed that the US budget deficit exceeded one trillion dollars in the first six months of the fiscal year, partly paid for by the rise in interest on public debt.   LINK

Alicia2015:   Is there a possibility of the collapse of the global monetary system?

IMO yes. All debt base monetary systems eventually collapse. Once taken off a gold standard Fed-R kept printing dollars at a phenomenal rate. Now...Every 3 months interest on our debt increases 1 trillion dollars, that's 4 trillion a year.

 It's mathematically impossible to pay it down so printing more money and feeding the machine is the Fed R only option. Every dollar printed draws value from existing dollars, weakening the purchasing power, creating inflation (too many dollars chasing too few goods)

IMO a global monetary collapse is in the horizon, which explains why Global World banking institutions are purchasing gold at a higher rate than ever before. The smart money is running to gold and silver!