Traditional reserve currencies like the US dollar and the euro have lost their credibility as a basis for international settlements, Russian President Vladimir Putin said on Wednesday.

“Western countries have undermined the foundations of the global economic system. There is a loss of confidence in the dollar, the euro and the pound sterling as currencies in which to conduct transactions, hold assets and reserves,” he stated at the seventh annual Eastern Economic Forum in Vladivostok.

He also noted that this tendency pushes Russia and many other nations to switch to other currencies, most notably the Chinese yuan.

“Step by step we are moving away from the use of these unreliable, compromised currencies. And by the way, even US allies are gradually reducing their savings and payments in dollars, according to statistics… I will note that yesterday Gazprom and its Chinese partners agreed to pay for gas in rubles and yuan in a 50/50 split,” Putin said.

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