The ban on the use of the US dollar as the foreign currency for registering import orders was the most important event in Iran's trade sector in the past few days. In case the policies are correct and effective, the move can minimize the role of the US dollar in the national economy.
Iran doesn’t leave attempts to get rid of the financial hegemony of the US dollar and is still seeking ways for transition to clearing accounts in national currencies with its close and friendly trade partners.
The Russian government will intensify efforts to cut the country’s dependence on US payment systems and the dollar as a settling currency, said Deputy Foreign Minister Sergey Ryabkov on Monday, as quoted by RIA Novosti.
Gold has hit to its highest level in over a month on Tuesday buoyed by a weaker US dollar before a news conference by US President-elect, Donald Trump on Wednesday and Britain's uncertain exit from the European Union.
The runaway dollar has sparked serious concerns in Iran over what many believe could eventually prove costly for a country which has been planning for months to reap the benefits of the removal of the sanctions.
The world’s most important currency is flexing its muscles. In the three weeks following Donald Trump’s victory in America’s presidential elections, the dollar had one of its sharpest rises ever against a basket of rich-country peers. It is now 40 percent above its lows in 2011. It has strengthened relative to emerging-market currencies, too. The yuan has fallen to its lowest level against the dollar since 2008. Anxious Chinese officials are said to be pondering tighter restrictions on foreign takeovers by domestic firms to stem the downward pressure. India, which has troubles of its own making has seen its currency reach an all-time low against the greenback. Other Asian currencies have plunged to depths not seen since the financial crisis of 1997-98, The Economist wrote.