US may allow Iran to trade in dollars: expert

Trading in dollars will make it easier for Iran to undermine the dollar by weakening it, trying to crash it, etc…

 

The United States appears to be laying the groundwork to let Iran begin trading in dollars, experts believe, after a landmark accord with the West last year saw the country limit its nuclear programme in exchange for the lifting of sanctions.

Treasury Secretary Jack Lew said in Washington Wednesday that US sanctions should not be used lightly, though a Republican-controlled Congress remains dead set against easing restraints on Tehran.

“We must be conscious of the risk that overuse of sanctions could undermine our leadership position within the global economy, and the effectiveness of our sanctions themselves,” he told The Carnegie Endowment for International Peace.

Lew said Washington must be willing to ease sanctions when they have actually worked, even if this is delicate in the case of Iran.

Mark Dubowitz, of the Foundation for Defense of Democracies, said Lew’s remarks signaled that the administration of President Barack Obama is preparing to make “a major concession to Iran” by giving it access to the US dollar. He said this change would be adamantly opposed by the US Congress.

“It seems clear to me that the administration is seriously considering giving Iran access to the use of the US dollar for business transactions,” Dubowitz told AFP.

Full article: US may allow Iran to trade in dollars: expert (Spacewar)

Comments are closed.