The chief economist of the ECB, Philip Lane, warns that stopping funding in dollars could affect the lending of banks in the euro area.

Philip Lane, the chief economist of the European Central Bank, warned that banks in the euro area could come under pressure if dollar funding stops, which could force them to reduce the loans granted to the economy. This situation is exacerbated by the massive exposure of banks' balance sheets in dollars and the volatility of funding. Although the dollar has continued to lose market share as the dominant currency, the euro has not benefited significantly, but rather smaller rivals such as the Japanese yen and the Canadian dollar, as well as gold. In 2024, the dollar lost two percentage points of its share, reaching 58% of global foreign exchange reserves. Additionally, central banks have significantly increased their gold holdings, considered a safe haven against geopolitical risks, with gold now representing 20% of global foreign exchange reserves.