Yellen Confident In Dollar's Status As Primary Reserve Currency

According to Odaily, U.S. Treasury Secretary Janet Yellen emphasized the critical importance of the U.S. dollar as the world's primary reserve currency. Yellen highlighted that the dollar's status is underpinned by the United States' strong macroeconomic performance, low inflation, robust institutions, strong capital markets, rule of law, and highly liquid capital markets. She asserted that no other currency can compare to the dollar in these aspects. Yellen expressed confidence in the dollar's position and stressed the importance of maintaining a sound fiscal path. She noted that this would require deficit reduction in the coming years and a continued focus on keeping the real net interest cost of debt close to historical levels, ideally below 2%. This fiscal discipline is deemed crucial for sustaining the dollar's dominant role in the global economy.