Geopolitical developments since Russia’s invasion of Ukraine in February could be threatening the dominance of the dollar in the global financial system, the International Monetary Fund’s Pierre-Olivier Gourinchas has warned.

The IMF chief economist noted all countries are “plugged into the dollar financial system”, which is one reason by sanctions imposed by the US on the Bank of Russia proved potent. “Sanctions imposed by the US government unilaterally can reach very, very far outside the US