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Collapse Of The Western Financial System Looms As A "Strategic" Russian Default Is Possible
Authored by Pepe Escobar, originally posted Op-Ed at RT.com,
Irrespective of spin – “productive” according to the White House, “tense” according to a source close to the Kremlin – facts on the ground accumulated almost immediately.
Putin did press Obama for the US to join Russia in a real grand coalition bent on smashing ISIS/ISIL/Daesh. The Obama administration, once again, relented. I detailed here what happened next: an earth-shattering game-changer in the ‘New Great Game’ in Eurasia, straight out of the Caspian Sea, that caught the acronym fest of US intelligence – not to mention the Pentagon - completely off-guard.
So this was Putin’s first message to Washington, and the Pentagon/NATO combo in particular; your fancy ideas of stationing tactical nuclear weapons or expanding missile defense to Eastern Europe, or even Asia-Pacific, are just a mirage. Our cruise missiles are capable of wreaking real effective havoc; and soon, as this piece argues, there will be more hypersonic, high-precision long-range missiles added to the mix.
Old habits don’t die hard – they remain in a coma forever. The Pentagon’s response to the facts launched from the Caspian Sea was to conduct an airdrop of light weapons to “a select group of vetted leaders and their units,” as in those famously non-existent Syrian “moderate rebels.” The weapons will inevitably be captured by assorted Salafi-jihadi goon outfits in no time.
Then the British government was forced to deny a Murdoch-controlled Sunday Times “report” that British Tornadoes in Syria are now armed with air-to-air missiles to counter potential Russian aerial “attacks.”
And to top it off, the proverbial “military experts” infesting US corporate media started spinning that we are only 30 seconds from World War III.
The Glazyev nuclear plan
A still apoplectic Pentagon will take time to absorb the new military facts on the Syrian ground – and skies. That will add to the utter desperation displayed by the ‘Masters of the Universe’ in the Washington/Wall Street axis – itching to break the China-Russia strategic partnership by all means necessary. Quite a feat when the Pentagon is still fighting World War II, with its weapons, ships and monster aircraft carriers displayed as sitting ducks against Russia’s new batch of missiles.
But then there’s also Putin’s second – silent - message to Washington, which didn’t even have to be delivered in person to Obama. US intel though may have a hint about it, as they closely follow Russian media.
It’s about Sergey Glazyev’s (presidential aide) plan for Russia’s immediate economic future here is a summary of the plan, in Russian. The plan was formally proposed to Russia’s Security Council. Here is a very good summary on how Russia’s Security Council works.
There are at least three absolutely key points in Glazyev’s plan. We may summarize them like this:
- If the emerging trend of freezing private assets of Russian legal entities and individuals continues, Russia should consider full or a partial moratorium on the servicing of loans and investment from the countries involved in the freezing.
- The amount of foreign currency assets of the Russian Federation located in the jurisdiction of NATO countries accounts to more than $1.2 trillion, including short-term debt of about $800 billion. Their freeze may be partially offset by retaliation against NATO assets in Russia, which amounts to $1.1 trillion, including over $400 billion long-term. So this threat would be neutralized if Russian monetary authorities organized a timely withdrawal of Russian short-term assets in the US and the EU.
- Glazyev is adamant that the Russian Central Bank continues to serve the interests of foreign capital – as in the financial powers in London and New York. He contends that the high interest rates practiced by the Russian Central Bank led Russian oligarchs to borrow more cheaply from the West, making the Russian economy dependent, a debt trap which the West used to slowly squeeze Russia. Then the rigged Western oil and ruble collapse increased the pressure as debt service in ruble cost and interest doubled.

So what Glazyev proposes, essentially, is that Moscow must gain total control of its Central Bank, preventing speculators to move their credit around for non-productive purposes; Moscow should also establish currency controls; and must create a central organization of technological research to replace the loss of Western technology, imitating the US methodology of rolling out from its centralized military research those technologies that can be commercialized for the consumer market.
The fact is Russia has lost access to Western credit and cannot roll over its debt with the creditors. So Russia will have to pay the principle and the interest as it comes due. That is a trillion dollars plus interest. Russia also cannot import anything from the West without paying double for it. So arguably the country may be now in the very position it will be if Moscow opts for default. Thus, Russia would have nothing to lose by a default - as the damage is already done.
A shock to the system
Essentially, once again, a Russian default on a $1 trillion-plus debt to private Western parties remains a possible scenario discussed at the highest level – assuming Washington will persist in its anti-Russia demonization campaign.
It’s clear the squeeze Russia is feeling has less to do with sanctions than the grip maintained by Western financial powers over the Russian Central Bank. The Russian Central Bank did create a debt trap by maintaining high interest rates in Russia while the West was lending at low interest rates.
Needless to add, such a default, if it ever happened, would collapse the entire Western financial system.
One should never forget the Big Picture; the Syria/Ukraine/sanctions saga runs in parallel to Russia-China and closer BRICS integration shifting the balance of geopolitical power. For the ‘Masters of the Universe’, this is beyond anathema. Enter, for instance, the use of cash settlement through their Wall Street proxies to raise the A shares of China to hysterical highs and then try to crash their entire stock market by a reverse cash settlement rig as in 1987.
China is moving toward their own SWIFT payment system, not to mention a whole new Chinese-led set of international institutions independent of US control. Russia, for its part, recently passed a bill that would allow the seizing of foreign assets if Russian assets in the West are seized. As Glazyev pointed out, investment in Russia by the West are more or less equivalent to investments of Russia in the West.
The ‘Masters of the Universe’ may keep insisting on using financial weapons of mass destruction. Russia, silently and with a few key facts in the Caspian Sea, is letting them know it’s ready for whatever scenario they can come up with.
A less apocalyptic ending may be healthy. So here’s a popular joke in Moscow nowadays, as told by William Engdahl...
Putin is back in the Kremlin after his meeting with Obama in New York. He tells an aide he invited Obama for a game of chess. And then he tells it how it works: “It’s like playing with a pigeon. First it knocks over all the pieces, then it shits on the board and finally struts around like it won.”
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Blue Light Specials coming back to K Mart?
Yeah and the Chinese will just always lend money to them because "they get it too" i.e. to fuck the western world. Just stop the nonesense. If they were to default, no one in there right mind would even bother to do business with the Ruski's. Vlad would be perched in his 'humble hut' in Sochi while the world would 'annex' 3/4's of Russia. Remember the Chinese think Siberia is part of their god given right.
Right! That is doubtless why lenders are always lurking at the bankruptcy court door wanting to lend to those just discharged.
Also oil and natural gas are fungible commodities that nations will purchase from anyone.
You don't know what you are talking about
Because those lenders are backstopped by other bankers, so there is no moral hazard on lending, hence 2008. You think that Oil and Gas are only available from Russia?Iran has plenty of excess supply, especially now they will be using 'nuclear' to power there grids. If China would be the only country lined up to buy Russia's resources why not just choke them out? As I said above, the Chinese covet/want some of Russia's lands already.
Why would you trade with a country that defaults on 1T of debt, out of spite? Do you think that China would be unaffected by a move like this, if the western financial system would collaspe? Give me a break.
Ya, that's why China built a wall. So they could block the Mongols while trying to occupy Siberia.
I can't wait to see the Russkie MLRS in action against the headchoppers.Wonder how many mercs are trapped in Aleppo? Always the same,Logistics,logistics,logistics. Cut them supply lines,Vlad...
USSA GDP is from ponzi printed fiat... BS
There needs to be two currencies... ones from nations that produce something, and those like USA - from thin air and fraud... hahaha FU US Gov - FED CIA NSA IRS
I'm a little confused as to why this would collapse the Western Financial System. Have they taken all of the P's off the keyboards at the Fed and ECB? Let's say Russia does dump/confiscate $1.1T in western assets. That night, both central banks declare QE4 and QE2, reimburse the banks who invested in Russia, and the market will be up 5%. That's why having the reserve currency is important. If the bailout numbers during the financial crisis are even close to true then $1T is chump change
The problem is not a 50% drop in the S&P. It is a 100,000% gain.
Think Zimbabwe...or Venezuela...or Argentina.....or post WW2 Hungary...
....I quess the list end with Weimar Germany though that spot of bother in the late 1700s in France brings a story about the assignat and the mandats.
I mean, at this point they have pumped at $30T into the financial system since '08 and probably much more. They could soak up another $1T and not blink
You are assuming that the Fed would bail out Russias lenders/investors in Europe as well as Russias external investors like EXXON. Do you really believe that the Fed or Congress is going to bail out Exxon? European defaults could cascade before clueless Yellen figures out what is happening.
Wait, you DON'T think the Fed would bail out the oil companies? Lol. Of course they would in the name of "national security". As I said, $1T is a drop in the bucket at this point
Yep, the premise for the article is false here, 1.2 trillion dollars of debt is not enough to crash the western economic system, even if it all happened at the same time.
The moment it happened there would still be money in the system, and slowly the chosen companies would get bailed out, the blame would be pointed at Russia deliberately sabotaging the economy, and our leaders would seize the opportunity that a crises like this affords to print up 1.2 trillion, and then some.
The real damage Russia can do to the western system is not by defaulting, but by providing an alternative, to do that they need to prove they are people who pay their debts, and the great fear for the US is another country demanding payment in something other than dollars, and getting it.
The moment that happens the whole game changes, while there is more trading outside of the dollar system today we have not had the moment yet because the only trades have been carefully negociated deals, not every day trades, and there always is another seller who will sell what you want for dollars. The moment that someone finds they cannot use their dollars to buy something they want the whole game changes, and then the US faces the same problems as the Weimar republic.
Absolutely right, but you are too rational.
For many years Escobar is making a living by writing fanciful stories for a frustrated audience hoping the US will soon collapse. The sad fact, that ZH and other blogs he is writing for, do not and couldnt exist in Russia, because the Tylers would be either dead or in Syberia is a small disturbing detail and to be ignored.
Pepe is a good strategic thinker.He sometimes gets a little wrong, but overall he is spot on
in his articles. Just keepi looking at the trees, as you were indoctrinated ,erm educated to do.
-Mr. Putin, we have apologized for President Obama on multiple occasions.
I doubt Russia will do any of this. A collapse of the dollar is already happening. We have deflation all over the world which will lead to debt default. The Fed will then usher in hyperinflation to save the banking system at least nominally. It is the only scenario that has ever played out in a dying fiat regime.
I suggest Putin has a Cuban cigar, some French Cognac, after a nice Argentinian steak and a bottle of Rothschild wine (go for one of their better ones, they are something...and they are 'homemade'). Relax and watch the show with the rest of us. It will be like rewatching an old favorite. You know how it will end but the acting is great.
When you are done you help the USA off its ass and we begin a new monetary era.
yup, western financial ponzi is collapsing all by itself...
Yes Thats so good
Borrow trillions , convert into gold
Refuse to pay
-------------
What west needs:
Nuclear carpet bombing
WEST MUST BE DESTROYED
How do simple $ translate into Petro-Rubles now?
So what Glazyev proposes, essentially, is that Moscow must gain total control of its Central Bank, preventing speculators to move their credit around for non-productive purposes; Moscow should also establish currency controls; and must create a central organization of technological research to replace the loss of Western technology, imitating the US methodology of rolling out from its centralized military research those technologies that can be commercialized for the consumer market
This is exact scenario that Weimar Germany faced. Hjalmar Schacht was put in control of Reichsbank, and said bank came under political control. Formerly Reichsbank was privatized under Morganthau (J) plan.
International Capital (debt spreading credit systems) does not take it lightly when a country claims its financial sovereignty. German financial independence from international finance capitalism, more than anything else, is what precipitated WW2.
sovereignmoney.eu
There will some blowback for seizing a Rothschild Bank... Russia's current situation is eerily similar to pre WWII Germany.
The Rothschilds made a mistake in fucking with the Russians.
They will learn the hard way that what works elsewhere will cause them massive pain and suffering in those lands.
"Essentially, once again, a Russian default on a $1 trillion-plus debt to private Western parties remains a possible scenario discussed at the highest level – assuming Washington will persist in its anti-Russia demonization campaign."
And oil prices continue low, Saudi Arabia saying it's operating in a deficit now. Their books are probably plenty cooked as are their actual in ground oil reserves. However I would just offer this thought...What about some country "subsidizing" Saudi's oil prices under the table, the target being Russia. Wonder who would do a thing like that?
Putin has stated many times that he has no intention of letting Russia become isolated.
With regards to debt spreading systems and exchange rates; these mechanisms are used in financial warfare.
Borrowing new credit overseas in assets denominated in a foreign unit, then puts exchange rate pressure on FX reserves. Or, once a country comes under some sort of exchange rate pressures, then bear raiders attack by shorting the currency. This is a positive feedback system, which underlies most hyperinflations.
Economists ought to be ashamed of themselves for not understanding these mechanics and not explaining it to people.
In Malyasia, during the Asian Currency Crises, they used Capital Controls, and also stopped allowing conversion of their currency in foreign markets. This WORKED.
Hjalamar Schact's methods also WORKED.
Note that both countries have or had come under attack.
All countries are sovereign and all money is law. It is hypnosis and lies that money should be credit, and it is especially noxious idea that money should be international credit.
It is axiomatic that a country should extend its law around its money, as its citizens use this medium for buying and selling with each other, as well as saving their labor output. Other ways can be found for international trade as Schacht showed the world, much to "International Jewish Capital's" consternation. In response, War was declared on Germany in 1933.
I'm sorry if this inconvenient history runs counter to hypnotic implanted memory.
http://www.wintersonnenwende.com/scriptorium/english/archives/articles/j...
>>>>> Then the British government was forced to deny a Murdoch-controlled Sunday Times “report” that British Tornadoes in Syria are now armed with air-to-air missiles to counter potential Russian aerial “attacks.”<<<
I hope the Brits attack Russians over Syria and get their asses blow out of the sky.... then if there are any Brit ships in the region they get sent to the bottom of the ocean....
>>>>> Then the British government was forced to deny a Murdoch-controlled Sunday Times “report” that British Tornadoes in Syria are now armed with air-to-air missiles to counter potential Russian aerial “attacks.”<<<
I hope the Brits attack Russians over Syria and get their asses blow out of the sky.... then if there are any Brit ships in the region they get sent to the bottom of the ocean....
Yes, but also No.
too many regular people who will die because of some <shit...> in an office.
The people giving the orders won't die and they should.....
So where is Brandon Smith's follow up on how Putin is owned by the Russian Central Bank when he's about to pull the plug on the debt trap the Russian Z-Bank helped carve out for the West's conquest?
I thought this East-West paradigm was on par with the Dem/ Repub one?
Let me add what a few of us and Mr. Putin know as a part of the historical record.
At the beginning of the first Bush Fuck Presidency in 1989, George H.W. Bush initiated a program of covert economic warfare to bring about the collapse of the Soviet Union. The name of this program appears to be Project Hammer, a multi-billion dollar covert operation, ‘third world investment program’ whose investments remained covert.
September 11, 1991, George H.W. Bush and Alan Greenspan financed $240 billion in secretive bonds to finance a program to end the Cold War through an attack on the economy of the Soviet Union. Some have called these bonds, "Brady Bonds."
This program consisted of four major covert operations including:
1) Theft of the Soviet treasury,
2) Currency destabilization of the Ruble,
3) Funding of the KGB Generals’ August 1991 coup against Gorbachev, and
4) Takeover of the key energy and defense industries in the Soviet Union.
The 1991 coup against Gorbachev was engineered by KGB General Vladimir Kruchkov, who reported to General Victor Cherbrikov. Both of these men were business partners with Robert Maxwell, a British financial mogul, a documented Israeli secret service agent, and a representative of U.S. intelligence interests.
In the same month as the coup, Maxwell was in Russia and received $780 million dollars from the CIA via the Israelis to pass on to General Kruchkov. Shortly after the coup, Maxwell died mysteriously on his yacht after attempting to blackmail the U.S. and Israeli intelligence operations. It is widely rumored that he was assassinated by either CIA or Mossad agents in lieu of them delivering his expected blackmail payment. Maxwell’s link back to George Bush died just as mysteriously. Senator Tower died in a plane crash and under suspicious circumstance in April of 1991.
Fast forward ten years to the second Bush Fuck. With the Brady bonds out in the market, they sat for ten years, like a ticking time bomb. At some point, they had to be settled -or cashed in, on September 11, 2001. They came due for settlement and clearing on September 12, 2001.
Howver, it gets worse. This covert Cold War operation (started in 1989) resulted in a series of foreign and U.S. allegations of financial impropriety, and there were at least nine fucking federal investigations being conducted into bank accounts related to these operations.
The records for some of these investigations resided in Building Six, Building Seven and on the 23rd Floor FBI office in the North Tower. The account structure set up by the U.S. intelligence operations was besieged by investigations from nine different directions, any one of which may have exposed the source of that funding, and traced it to its Black Eagle Fund origins. Those investigations needed to be diverted.
The two firms in the U.S. most likely to be handling them would be Cantor Fitzgerald and Eurobrokers – the two largest government securities firms in the U.S. The federal agency mostly involved in investigating those transactions was the Office of Naval Intelligence.
On September 11, 2001, those same three organizations: the two largest government securities brokers and the Office of Naval Intelligence in the US took near direct hits immediately below the targeted offices, assuring that the flames would engulf the floors above. The Office of Naval Intelligence was in the section of the Pentagon destroyed that day by internal explosives, a cruise missile or an airliner. Take your pick. It doesn't matter.
Beyond the other motivations (i.e., invading the Middle East, MIC profits, and Larry Silverstein's insurance policy), 9/11 was required to cover up the existence of the Black Eagle Trust, and the covert activities it had funded for over 50 years. The destruction of lives and buildings was a cover-up of continued lawlessness by the brotherhood of businessmen and criminals referred to as ‘the Enterprise’ in the 1980s.
So, as long as there is no justice in America, there will be no hope for America.
Your nation has been infected with pure evil. That evil has spread like an incurable virus.
one can add that KGB General Vladimir Kruchkov faked coup de etat in 1991
there was an order to catch Yeltsin (who was storming democratically elected parliament) but Kruchkov sent his own team to fail this operation. As a result Yeltsin became russia's president
Fair enough...the more insight into the truth the better.
Payback is a bitch.
"Russia is a riddle wrapped in a mystery inside an enigma."
Winston Churchill
This is laughable;
http://news.yahoo.com/saudi-urges-iran-stop-meddling-neighbourhood-18184...
The KSA has certainly learned a thing or two from the US school of hypocrisy.
Today's news narrative, Russia is broke, all bs PR of course.
Russia is broke, and Carly won.
Strategic Russian default? Ok this site has officially become Putin's bitch. We're all strategically broke! Putin has strategically syphoned off billions! So have his friends! It's all strategic stuff! Now watch us all strategically die!
Hello CIA, FBI and Obama's bitch. Nice Trolling today?
Just put you head in the ground so they can use you easier... and you know even less.
I think its time the world just groups together and wipes out the fucken jew contolled west, problem solved.
Gold backed Ruble?
Sign me up for some!
I have to wonder if Lee Wanta is behind the scenes here. He was the chief architect of the General Agreement on Cooperation (1990). [1]
Wanta effected a win-win for both sides. But the initiative came from the West to end the USSR. This time around, if it comes from a western delegate, that delegation has to be fully clandestine. That delegation is offering options to the RF, that only the RF can execute to initiate any win-win for both sides. (Two VT editors have already suggested in print, that Putin pump oil to $10 per barrel if needed by the end of this year.)
Recent reports I have received say Wanta has been working 18 hour days since the beginning of this year. This in the year of his 75th birthday. What could someone at age 75 be working feverishly on via 18 hour days? It would certainly be something quite important, understanding his diplomatic standing, and worldwide connections to various heads of state.
https://app.box.com/s/hfgvcqg7gqh7i27at6sv53ywu87lwarp (Read Me First)
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[1] Putin as I understand, was in attendance as a GRU officer. (I do not care what Wikipedia says). This agreement has been in violation via the West since probably '93 when Wanta was put in prison by proxy POTUS GHWB. Difficult for Wanta to monitor the progress of these events, while in prison from '93 through '04.
Keep dream on Dude. Russia trillion dollar debt? Which one? Govt or private's??
Russia Govt external debt.
http://www.tradingeconomics.com/russia/external-debt
If you brings on Privates companies debt? Since WHEN Russia govt would TAKE OVER private companies DEBT?? Russia isn't ASSMEHREEKKKAAA. Where FED's pours money into dying companies.
If you're private russian company, and you can't services your own debt? Tough luck kids. You're on your own.
The stupidity or this ZH author, is INCREDIBLE!!
- - -
And the Russian haters comments? Well.. what can i say. Straight from GCHQ/NSA book (are you really dumb enough, to use every tricks on this "OPENS" book?? Bwahahahahahaha..)
https://cryptome.org/2012/07/gent-forum-spies.htm
"Needless to add, such a default, if it ever happened, would collapse the entire Western financial system."
Needless to add?????
THAT is the whole goal of the setup.
Raise the Russian rate and make the Americans, western world, dependent of the repay of loans by Russian oligarchs....
AND...
Since the FED policy is one of the printing press paying the Americans back will be cheaper thanks to Yellen and bernanke !
So it is a trap in its full glory ! ( The mother of all traps ?)
Leaving the rest of the world with worthless paper money, Chinese, Russian currencies are ( more and more) backed with pure shining gold. Not only BRIGGS countries will run out from the dollar system... every country will be forced to do the same.
Even the USA.
("He contends that the high interest rates practiced by the Russian Central Bank led Russian oligarchs to borrow more cheaply from the West, making the Russian economy dependent, a debt trap which the West used to slowly squeeze Russia. "....... and making the West dependent of a Russian pay back...... or a default.) (Remember that every economic transaction is an exchange of values; Nothing else than just an exchange)
I have a deep, deep respect for the Russian people; anyone who doesn't, doesn't know the Russians...
Putin & Glazyev routinely play good cop / bad cop on policy issues. I think if Russia really intended to do this they would not put it out there in a thinly disguised press release. This is just a gentle reminder to the west that actions have consequences.
I read the original document on thesaker.is a couple of weeks ago and it certainly contains some radical ideas ;-)
As for the potential revolt against the Russian Central Bank, there have been some nice puff pieces about Elvira Nabiullina in the State owned media lately, so she is not going anywhere.
http://in.sputniknews.com/russia/20151018/1016078102/russia-nabiullina-s...
Carry on ;-)
"Glazyev is adamant that the Russian Central Bank continues to serve the interests of foreign capital – as in the financial powers in London and New York. He contends that the high interest rates practiced by the Russian Central Bank led Russian oligarchs to borrow more cheaply from the West, making the Russian economy dependent, a debt trap which the West used to slowly squeeze Russia."
Glasnyev doesn't understand economic bargain-hunting or economic risk mitigation behavior.
When a country tells its creditors, as Russia did in 1998, "Thanks for the money. We spent it. You can forget us repaying a single kopek" they need something to mitigate their risk that you'll steal their money again...like...oh, I don't know, HIGH INTEREST RATES.
"So what Glazyev proposes, essentially, is that Moscow must gain total control of its Central Bank, preventing speculators to move their credit around for non-productive purposes"
I t appears Glaznyev cannot understand that bargain-hunting IS PRODUCTIVE BEHAVIOR. To him, apparently, buying a $400 toilet seat from a crony is better social behavior than buying a $4 toilet seat from a foreigner.
In both of these cases what Glaznyev misunderstands is rational capital allocation, a.k.a. putting wealth to the most productive use.
A person can put all their money into guns and knives...and then make a living as a roadside bandit. The travellers on the road may know there is a chance of theft there, but some will pass in the night unmolested because a single bandit cannot be everywhere.
A society cannot put all their resources into theft. For the theft is so large there will be too little resources to fund the next round of production. Then the robbers and the robbed will starve together.
But that is exactly why Russia implemented Holomodor in Ukraine in the 1920's...and subsequently nearly starved themselves.
What the multitude of parasites in this world who masquerade as humans fail to understand is that when you rob the productive, you also rob yourself.
Dill, training manual change.
After selecting the flower of the poppy as the national symbol already am surprised to nothing.
You sir are an ignoramus, and I don't often say that.
If an Oligarch is borrowing foreign dollars/Euros, then the debt instrument is denominated in that Unit. To service the debt, then rubles later have to be converted to dollars. This puts exchange rate pressure.
This is not fucking productive behavior, and letting markets find perfect pricing.
Go back and read my previous comment about how the Reichsbank had to come under government control to then stop the hyperinflation.
Also, Russia didn't implement the Holodomor, it was the Soviet Union. You are a moron.
The soviet union was a parsite bolsheviek operation, and Holdomor was to extract grain from Ukrain, to then sell on world market for dollars or other hard currency. This hard currency then bought foreign goods priced in that unit. This then allowed Soviet to industrialize ...they bought industrial goods with the grain effectively.
It was a twofer also by starving out the Ukies, so they would not be a future threat.
The parasties were robbing the productive, but not in the way of your false portrayal.
So now the markets waking up to Sovereign Risk where the ethos can be an honor to default. Markets escalating towards war zones where military hardwares have to be engaged to enforce Debts. Still not seeing the looming wipeouts of global debts that paradoxically can be a good thing if wars can be contained just through proxy fights ?
I am surprised that the Russians have not already frozen the payment of interest and principal on dollar-denominated debt of Russian companies already targeted by Western sanctions. Nothing could be more logical.