THE RELATIONSHIP BETWEEN THE DOLLAR AND THE SWIFT SYSTEM WITH THE UNITED STATES IN WORLD GEOPOLITICS

Abstract

This article aims to explain how the dollar became somewhat hegemonic as a currency, making it a tool for the United States to use its favorable financial situation and impose sanctions on other countries using international financial systems, such as SWIFT, which is established worldwide and serves to carry out transactions between banks in different territories securely, through an identification code. Using a qualitative approach based on academic references, this article demonstrates the political power of the dollar, the use of financial mechanisms, and how this can affect the global scale. Therefore, the research shows that obtaining the dollar as the standard currency allows the imposition of sanctions to have even greater weight and drastically affects the economy of the affected country, such as the exclusion of financial institutions from international financial systems. As a form of adaptation, target territories need to adapt, as is the case with Russia and China, which are already seeking their own financial systems as an alternative to acquire greater autonomy.