Chapter from the book by N.I. Krotov “Akela has missed, launch Berlaga. An attempt to understand the essence of economic reforms of the 1980s”

A lot has been written about the United Nations International Monetary and Financial Conference in Bretton Woods. Let us dwell on a less well-known story. The author describes the events connected with the Soviet delegation’s participation in this conference, and about the circumstances of taking a decision on the USSR’s participation (or rather, non-participation) in the work of the International Monetary Fund and the International Bank for Reconstruction and Development created at the conference.

The article tells about the life of the legendary financier, candidate of economic sciences, multiple holder of the Order of the Labor Red Banner Andrei Ilyich Dubonosov (1900–1978). In the Soviet period, he headed the Moscow People’s Bank in London (1959–1967). Under his leadership the bank increased its assets by almost 30 times, began to work actively with British government securities, expanded loans to local urban projects and participation in the foreign exchange market activities. Contribution of Andrei Ilyich into these achievements is enormous. The people close to him — his son L.A. Dubonosov and his student V.V. Gerashchenko share with us their memories of an outstanding banker.

The article tells the history of creating a widespread now financial instrument — Eurodollar, about the role in its appearance of the USSR and the Soviet banks abroad — Moscow Narodny Bank in London and Eurobank in Paris, about the events preceding its appearance — the International Monetary and Financial Conference in Bretton-Woods, about the USSR’s attempts to escape from American sanctions. The article describes the consequences of introducing Eurodollar, of establishing new order for US dollar use in the world and the punishment of countries not supporting these new rules. One example of control over implementation of sanctions imposed by the United States is the story of punishing the Soviet Union for trade with Cuba, when US dollars, been applied by Moscow Narodny Bank for buying Cuban sugar, were blocked for 30 years. The article is dedicated to professionalism and ingenuity of the Soviet bankers and to the errors they committed, by inexperience.

If the “Stolypin”s neckties” were good for Russia, may be dispersal of mass meetings participants at Bolotnaya square, fighting with radicals are also necessary?

Namely due to introduction of rigid protectionism S.Y.Witte provided creation of national industry.

If we put aside political crackling and sensation, offered solutions of contemporary economic problems consist in their transfer onto our children and grandchildren.