Biden Spox Kirby Won’t Answer If Admin Is Concerned Countries Moving Away From US Dollar

NSC spokesman John Kirby struggled during a May 2023 briefing to address growing concerns that countries are moving away from using the U.S. dollar as the world reserve currency. A reporter noted Japan holds $1.2 trillion in U.S. debt and highlighted the strategic importance of dollar hegemony for American leadership. Kirby admitted “I don’t have a good answer for you” and said he’d have to “take your question.”

The Dollar Hegemony

World reserve currency: World reserve currency.
Strategic asset: Strategic asset.
U.S. leadership: U.S. leadership.
Economic power: Economic power.
Global system: Global system.

The Japan Holdings

$1.2 trillion: $1.2 trillion in U.S. debt.
Largest holder: Largest holder status.
Strategic relationship: Strategic relationship.
Economic interdependence: Economic interdependence.
Geopolitical implications: Geopolitical implications.

The De-dollarization Trend

Countries moving away: Countries moving away.
Alternative currencies: Alternative currencies.
BRICS initiatives: BRICS initiatives.
Chinese yuan: Chinese yuan.
Strategic challenge: Strategic challenge.

The Strategic Importance

U.S. leadership: U.S. leadership.
Economic sanctions: Economic sanctions capability.
Global finance: Global finance.
Policy tools: Policy tools.
Economic power: Economic power.

The Kirby Inability

“No good answer”: “I don’t have a good answer for you.”
Professional admission: Professional admission.
Administrative gap: Administrative gap.
Knowledge absence: Knowledge absence.
Strategic concern: Strategic concern.

The “Take Your Question”

Bureaucratic deflection: Bureaucratic deflection.
Delayed response: Delayed response.
Professional practice: Professional practice.
Administrative process: Administrative process.
Information gap: Information gap.

The Japan Reference

Economic policy: Economic policy.
Sovereign decisions: Sovereign decisions.
Deflection technique: Deflection technique.
Administrative separation: Administrative separation.
Professional boundary: Professional boundary.

The Denomination Shift

Trade agreements: Trade agreements.
Currency swaps: Currency swaps.
Alternative payments: Alternative payments.
Banking systems: Banking systems.
Economic architecture: Economic architecture.

The Reporter’s Challenge

Substantive inquiry: Substantive inquiry.
Strategic analysis: Strategic analysis.
Economic concern: Economic concern.
Professional pursuit: Professional pursuit.
Democratic function: Democratic function.

The De-dollarization Examples

China-Brazil trade: China-Brazil trade.
Russia currency: Russia currency alternatives.
Saudi Arabia oil: Saudi Arabia oil.
BRICS plus: BRICS plus expansion.
Strategic realignment: Strategic realignment.

The Economic Implications

Sanctions effectiveness: Sanctions effectiveness.
Treasury markets: Treasury markets.
Interest rates: Interest rates.
Global finance: Global finance.
Economic power: Economic power.

The Administration Position

Professional distance: Professional distance.
Expertise gap: Expertise gap.
Administrative limitation: Administrative limitation.
Strategic concern: Strategic concern.
Policy response: Policy response.

The Strategic Framework

National security: National security.
Economic policy: Economic policy.
International relations: International relations.
Currency power: Currency power.
Global leadership: Global leadership.

The Treasury Department

Professional expertise: Professional expertise.
Economic analysis: Economic analysis.
Currency policy: Currency policy.
Administrative authority: Administrative authority.
Policy implementation: Policy implementation.

The China Factor

Yuan internationalization: Yuan internationalization.
Belt and Road: Belt and Road Initiative.
Strategic competition: Strategic competition.
Economic statecraft: Economic statecraft.
Global influence: Global influence.

The BRICS Expansion

New members: New members.
Alternative framework: Alternative framework.
Economic coordination: Economic coordination.
Political positioning: Political positioning.
Strategic challenge: Strategic challenge.

The Russian Response

Sanctions impact: Sanctions impact.
Currency alternatives: Currency alternatives.
Trade arrangements: Trade arrangements.
Bilateral agreements: Bilateral agreements.
Strategic adaptation: Strategic adaptation.

The Saudi Arabia Shift

Oil pricing: Oil pricing.
Diplomatic shift: Diplomatic shift.
Strategic partnerships: Strategic partnerships.
Economic decisions: Economic decisions.
Regional politics: Regional politics.

The Economic Architecture

Bretton Woods: Bretton Woods legacy.
SWIFT system: SWIFT system.
Central banks: Central banks.
Global governance: Global governance.
Strategic framework: Strategic framework.

The Administrative Gap

Knowledge deficiency: Knowledge deficiency.
Strategic awareness: Strategic awareness.
Policy response: Policy response.
Professional preparation: Professional preparation.
Institutional capacity: Institutional capacity.

The Political Implications

Economic leadership: Economic leadership.
Strategic competition: Strategic competition.
Congressional concerns: Congressional concerns.
Electoral implications: Electoral implications.
Public discourse: Public discourse.

The Professional Standards

Spokesperson expertise: Spokesperson expertise.
Administrative preparation: Administrative preparation.
Democratic accountability: Democratic accountability.
Public communication: Public communication.
Strategic awareness: Strategic awareness.

The Global System

Financial infrastructure: Financial infrastructure.
Reserve currencies: Reserve currencies.
International trade: International trade.
Economic development: Economic development.
Strategic competition: Strategic competition.

The U.S. Response

Administrative coordination: Administrative coordination.
Treasury actions: Treasury actions.
Strategic planning: Strategic planning.
Policy development: Policy development.
International engagement: International engagement.

The Historical Context

Dollar hegemony: Dollar hegemony history.
Post-WWII framework: Post-WWII framework.
Economic leadership: Economic leadership.
Strategic evolution: Strategic evolution.
Policy adaptation: Policy adaptation.

Key Takeaways

NSC spokesman Kirby admitted “I don’t have a good answer” on dollar de-dollarization concerns.
Japan holds $1.2 trillion in U.S. debt as largest foreign holder.
Reporter highlighted dollar hegemony importance for U.S. leadership.
Kirby said he would “take your question” — standard deflection technique.
The exchange highlighted administrative gap on strategic economic trends.
Concerns about de-dollarization underscore growing challenges to U.S. economic power.

Transcript Highlights

The following quotations are drawn from an AI-generated Whisper transcript of the briefing and should be considered unverified pending official transcript release.

“Japan holds $1.2 trillion, the largest U.S. debt. And a growing number of countries seem to be moving away from the use of the dollar.” — Reporter framing
“Is there an understanding of this, of a concern for that? As the World Reserve currency is really a big part of why the U.S. is able to exert its leadership.” — Reporter question
“Is there understanding of the fact that countries are beginning to turn away from the use of the dollar? And some way to resolve that?” — Reporter question
“I have to let Japan speak to their economic policy.” — John Kirby
“The number of countries that are beginning to denominate in dollars away from the U.S. dollar. I’m going to have to take your question, sir.” — John Kirby
“I don’t have a good answer for you.” — John Kirby

Full transcript: 125 words transcribed via Whisper AI.