Jason Harvestdancer
Contributor
While everyone is looking at the election, and the court trials attendant to the election, something significant elsewhere.
Saudi Arabia ends 80-year petrodollar deal with US for multi-currency sales
Saudi Arabia ends 80-year petrodollar deal with US for multi-currency sales
The petrodollar has been a key component of US foreign policy and US economic strength for decades. Times are going to be interesting.
Saudi Arabia ends 80-year petrodollar deal with US for multi-currency sales
In Short
- Saudi Arabia ends 80-year petrodollar deal with US
- Deal allowed Saudi oil sales in US dollars only
- Saudi can now use other currencies like RMB, Euros, etc
Saudi Arabia ends 80-year petrodollar deal with US for multi-currency sales
Saudi Arabia has decided not to renew its 80-year petrodollar deal with the United States, which expired on Sunday, June 9, as per media reports.
This agreement, originally signed on June 8, 1974, had been a key part of US global economic influence.
The deal set up joint commissions for economic cooperation and Saudi Arabia's military needs. Back then, American officials hoped it would encourage Saudi Arabia to produce more oil and strengthen economic ties with Arab countries.
The petrodollar has been a key component of US foreign policy and US economic strength for decades. Times are going to be interesting.