Iran to stop pricing oil with USD

Iranian Central Bank: More than 50% of Iran's income in other currencies.

March 28, 2007 10:05
1 minute read.
Iran to stop pricing oil with USD

Iranian Oil 224.88. (photo credit: AP)


Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analysis from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user experience almost completely free of ads
  • Access to our Premium Section
  • Content from the award-winning Jerusalem Report and our monthly magazine to learn Hebrew - Ivrit
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief


Iran is planning to stop using the US dollar to price oil, with less than half of its oil income now paid in the US currency, Iran's central bank governor said. "That's the plan for the future, we are working on that," Governor Ebrahim Sheibany said in an interview with Zawya Dow Jones News Service late Tuesday when asked if Iran was planning to stop pricing oil in dollars. He was speaking on the sidelines of an Islamic finance forum in Kuala Lumpur, Malaysia's largest city. In global markets, oil is priced in US dollars per barrel. "More than 50 percent of Iran's oil income is paid in other currencies. We are reducing the dollar share and asking clients to pay in other currencies," Sheibany said. Sheibany said that almost all of Iran's European clients and some of its Asian customers have accepted making payments in non-dollar currencies. "Even if we get dollars, we directly convert it to other currencies. Japanese don't mind paying us in yen, for example," he said. Sheibany noted that Iran has earned more than US$45 billion from oil sales during the current fiscal year, which ended March 20. Washington is leading efforts to isolate Iran over what it claims is Teheran's bid to build atomic bombs. The United States has imposed sanctions on two big state banks and has urged international firms to avoid doing business with Iran. Iran, the world's fourth-biggest oil exporter, insists its nuclear plans are aimed at producing electricity so it can conserve its oil and gas resources for export, and also to prepare for the day when its huge energy reserves run out. Iran was doing fine without economic relations with Washington, and it has "perfect control" in keeping its currency stable, Sheibany said. "We do not have any problem. We are trading with more than 70 countries, including (in) Asia and Europe," the governor said. Iran's central bank is also shifting to holding its foreign reserves in a basket of 20 currencies and away from US dollars, which now make up less than 20 percent of the reserves, Sheibany said. Sheibany had left Malaysia on Wednesday and was not immediately available for other details.

Join Jerusalem Post Premium Plus now for just $5 and upgrade your experience with an ads-free website and exclusive content. Click here>>

Related Content

Bushehr nuclear Iranian
August 5, 2014
Iran and the bomb: The future of negotiations


Cookie Settings