De-dollarization 2025: How the US Economy Is Undermining the Dollar
Countries worldwide are moving away from the U.S. dollar. This de-dollarization comes as the U.S. economy struggles with serious internal problems. These issues now threaten the dollar’s global trade position more than any foreign competition. Former Federal Reserve and Treasury economists say America’s policies are the main risk to its currency’s power. Also Read: META And Microsoft (MSFT) Stocks Fall, Pulling Down S&P 500 The Looming US Dollar Crisis: 2025 Outlook on Global Trade Source: iStock Internal Economic Pressures Mount The U.S. will face a $2.6 trillion federal budget deficit by 2034. Political deadlock blocks any real financial fixes. As Kamin and Sobel note, “Given the political polarization of the country, the dysfunction of the US Congress, and the disinterest of politicians of all stripes in curbing the widening US budget deficit, this is hardly unthinkable.” These domestic problems are the main threat to the dollar’s power, poten...