Countries needing to buy oil from Middle East countries still need to hold US$, since oil is traded in US$. The Middle East holds the key to global need to hold US$ in reserve. If that key can be put aside by the Arabs, the US$ will no longer be important to be held by countries, or at least not as much as required for trade in other commodities other than oil.
For every country around the world, oil is the biggest need for a country's economic activity to function. Everything needs mostly oil to generate electricity for offices, computers, lifts, lighting, air conditioning, home appliances and most of all transportation. Without oil, everything comes to a complete standstill, other than eating, sleeping and shitting.
However, BRICS is the solution to the need for countries to hold huge US$ reserves to buy oil. Russia can do the oil trade in Yuan. Some Middle East oil producers are also using the Yuan in the oil trade. Iran is also doing the oil trade outside the US$. Iran, under sanctions I know, is even using barter trade, exporting oil to China in return for development and consumer goods.
Other BRICS countries will do bi-lateral trade in their own currencies inside the bloc, with even commodity exchanges being set up to facilitate the selling and buying of commodities, all bypassing the use of the US$.
Sure, what is happening is all going on discreetly and patiently executed, ignored by the MSM, but de-dollarization is going on without being monitored closely by the USA and the West. That is the beauty of the system.
Anonymous
1 comment:
When is a moot point. It was already under the USA control before, otherwise how did oil be sold in US$, not in the currency of the Saudis?
We thought the Saudis were born again heroes, trying to get away from USA control by joining BRICS. A little threat and the Mohammed bin Salman had again fall in line, ditching BRICS to save their interest.
There are many other countries that cannot be trusted to do what is moral. Countries like Saudi Arabia, Argentina, Italy and also Turkey. When the shit hits the fan, these countries will crumble under threats. These are countries that have divided loyalties and are never to be trusted.
Having said that, how can I leave out India as well. But enough said!
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