Ali Shamkhani, Secretary of Iran’s National Security Council, said that recent bilateral cooperation efforts between his country and Russia have helped render the sanctions established by the US meaningless at the global level. The Secretary noted that many other countries are also taking such actions – abandoning the hegemony of the US dollar.
Iran’s top security official said that continued efforts to de-dollarize the country will make sanctions meaningless
Ali Shamkhani, secretary of Iran’s National Security Council, presented his views on the impact of bilateral deals and recent global de-dollarization efforts on the effectiveness of US sanctions. According to Xinhua, in a meeting with Russian officials, Shamkhaniexplainedthat recent bilateral advances between Iran and Russia, including on currency and banking issues, are important to “make the illegal Western sanctions fail.”
At the same time, Shamkhani referred to the de-dollarization movement around the world and noted that many other countries have also started down this path. Iran has faced U.S. sanctions since 1979, which were lifted between 1981 and 1987, but have since been re-imposed and maintained.
The two most U.S.-sanctioned countries in the world are trying tofinalize a comprehensive strategic agreementthat will turn away from Western influence in their trade operations and the influence of the U.S. dollar and further integration between their economic systems.
The establishment of sanctions and the so-called weaponization of the U.S. currency have recently been in the spotlight and criticized for their negative impact on the U.S. dollar’s status as a reserve currency.
Noted economist Jeffrey Sachs recently stated that other countries fear dollar confiscation in the event of policy disagreements with the United States. Jim Rickard, economist and author of “Currency Wars,” has also pointed to the actions of the U.S. Treasury in this regard, describing it as the greatest enemy to the dollar as a reserve currency.
What Sanctions Bring
According toanalystsIran and Russia are closely linked by the continuation of economic sanctions and trade in goods that sanctions have prevented from being imported. Not many companies or organizations are willing to risk secondary economic sanctions, so they choose to cut ties with Russia and Iran and abandon lucrative trade as well.
{In fact, the latest sanctions applied to Iran on March 2,38 are directed at several international companies allegedly involved in the transportation and sale of Iranian crude and oil.
