Iran, OPEC’s second-largest producer, has completely stopped conducting oil transactions in U.S. dollars, a top Oil Ministry official has admitted. It is a concerted attempt to reduce reliance on Washington at a time of tension over Tehran’s nuclear program and suspected involvement in Iraq.

Iran has dramatically reduced dependence on the dollar over the past year in the face of increasing U.S. pressure on its financial system and the fall in the value of the American currency.

Oil is priced in U.S. dollars on the world market, and the currency’s depreciation has concerned producers because it has contributed to rising crude prices and eroded the value of their dollar reserves.

“The dollar has totally been removed from Iran’s oil transactions,” Oil Ministry official Hojjatollah Ghanimifard told state-run television Wednesday. “We have agreed with all of our crude oil customers to do our transactions in non-dollar currencies.”

Iranian President Mahmoud Ahmadinejad had already called the depreciating dollar a “worthless piece of paper” …

One Comment

  • Well know we know that the USA bombing Iran is a matter of if not when. Saddam also tread the same path with oil sales and he first lost his country then his life. That Bs story about weapons of mass destruction was as phoney as the current US allegation that Iran wants to build nuclear weapons.

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