Dominate South Asia
Chapter 829: Secret Visit to Saudi Arabia
With the excessive support of social welfare and war, coupled with the monetization of the Federal Reserve's deficit, the amount of US dollars circulating in the market far exceeds the circulation that gold can support. In this way, the US gold supply gradually consumed, from 706 million ounces at the end of World War II to 286 million ounces in 1971.
In 1971, then US President Nixon announced the decoupling of the US dollar from gold, ending the Bretton Woods system.
In order to ensure the status of the US dollar as the global reserve currency, the US government had to formulate a new agreement to give other countries sufficient reasons to hold and use the US dollar, which is the petrodollar system.
At that time, the US government found Saudi Arabia and created this system.
Although this system sounds grand on the surface, in fact, the essence of this system is this: the United States guarantees the lasting status of the Saudi royal family, and Saudi Arabia returns to the United States: 1. Use its leadership in OPEC to ensure that all crude oil transactions are settled in US dollars. 2. Invest the large amount of US dollars earned from crude oil transactions in US Treasury bonds, and use the proceeds from Treasury bonds to pay for the modernization of infrastructure projects by US companies in Saudi Arabia. 3. To ensure stable oil prices within the range that the United States can afford and prevent other OPEC members from imposing an embargo on crude oil.
Since crude oil is the world's largest traded and most strategically valuable commodity, using the US dollar to settle crude oil transactions requires governments to hold a large amount of US dollar reserves.
For example, if Italy wants to buy oil from Kuwait, Italy must first buy US dollars in the foreign exchange market to pay for the purchase of oil. This creates a virtual market for the US dollar that does not actually exist.
This demand is virtual because the US dollar is only a middleman in the transaction. It has nothing to do with US products or services. Ultimately, this will increase the purchasing power of the US dollar, and the US dollar and US Treasury bonds will usher in a deeper and more liquid market. Moreover, after receiving the US dollars, the oil-producing countries have to go to the United States to consume. It almost firmly ties the oil-producing countries to the US chariot.
The United States will have the privilege of purchasing imported goods without using foreign exchange, including oil. The currency used by Americans is printed by themselves. At the same time, since all countries must use US dollars to buy oil, they must use their own products to sell internationally, which is equivalent to the United States being able to buy things as long as it prints money.
The petrodollar system has brought huge benefits to the United States. No matter how the United States' finances deteriorate or how much it spends, it can live comfortably. Through this system, the United States can continuously consume the products of people all over the world by printing money. Americans enjoy all the benefits of this system.
All this should not have happened. Why can the United States, which is high above, exploit people all over the world? In recent years, Americans have printed so many banknotes and circulated them around the world. Americans have seriously overdrawn their purchasing power. The high standard of life of Americans is based on the exploitation of people all over the world!
Now. It's time for this system to collapse!
Since we have entered the war, it's a life-and-death struggle. If we don't kill the Americans completely, Pakistan will not have a good life.
With such a goal, Muhammad secretly visited the Saudi capital Riyadh.
At this time, it is safest for Muhammad to stay in his own country. If the Americans know Muhammad's route of action, they will definitely ambush him halfway, but Muhammad has no choice. This is the most important event that determines the future pattern. Muhammad must come to deal with it personally.
Muhammad did not take a special plane, but took a high-speed ground-effect vehicle, passing through the strait, directly across the vast desert area of Saudi Arabia, and arrived at the capital Riyadh.
When Muhammad got off the ground-effect vehicle, he was greeted by a familiar face.
"Prince Sultan!" Muhammad shouted to the person opposite. This middle-aged man was the powerful defense minister of Saudi Arabia. He was also an old acquaintance of Muhammad.
"President Muhammad, you dare to come out at this time, I am worried for you. You must know that you are now a thorn in the eyes of the Americans." Prince Sultan said.
Saudi Arabia's defense policy tends to be Western. But now, Prince Sultan teased. There is no respect for the West at all. Muhammad certainly knows why, and he is also happy in his heart.
"Get in the car." Prince Sultan took Muhammad to the convoy that had been prepared long ago. Half of the guards of the convoy were Pakistanis.
After the United States and Iran went to war, two divisions of Pakistani troops were stationed in Saudi Arabia to help Saudi Arabia defend the country. Now, these Pakistani soldiers are Muhammad's most trusted subordinates.
"His Majesty the King is worried about you when he heard that you are coming. In fact, I can just go there. You don't need to bother coming from Pakistan." Prince Sultan said to Muhammad in the car.
"It is related to the future of our world, so I must come here." Muhammad said: "Moreover, this important matter we want to discuss can only be shown to our sincerity if I personally mention it to His Majesty the King."
"President Muhammad, your battle at sea really gave us a boost!" Prince Sultan continued to say to Muhammad. As the Minister of Defense, Prince Sultan was most concerned about the construction of the army. Now, Pakistan was so brave, and the whole world felt that its back was straightened.
"Fortunately, we were well prepared." Muhammad said: "Buying weapons from the West will be controlled by others. This time, the Americans tried to destroy our combat system by implanting viruses inside our fighter jets. Fortunately, we discovered it and let us counterattack. Most of the American reconnaissance satellites were destroyed by us."
Before the preparation! Muhammad's preparations have not been one or two days. It can be said that since the first batch of American fighter jets were imported, Muhammad has been guarding against the United States's behind-the-scenes hands. Otherwise, he would not know how he died.
Soon, the convoy entered the city of Riyadh and headed straight for the palace.
King Fahd warmly welcomed Muhammad and sat back in his chair. King Fahd said, "We Saudi Arabia and Pakistan share the same faith, and we have maintained a close and friendly relationship over the years. Facts have proved that Pakistan has strong strength to help us stabilize the order of our world." (To be continued ~^~)
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