[:en]The Tribune Int’l Staff
Saudi Arabi has ended its 80- year old petrodollar deal with the United States that 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 Commissioner for economic cooperation and Saudi Arabia’s military needs. Back then, US officials hoped it would encourage Saudi Arabia to produce more oil and strengthen economic ties with Arab countries.
Now Saudi Arabia can now sell oil and other goods using different currency ies, such as the Chinese RMB, Europe Euros, Yen, and Yuan, instead of only US dollars.
There’ s also talks of exploring digital currency ies like Bitcoin for transaction.
The petrodollar system was established in 1972.
It is now expected to a celebrate the global trend of using currencies other than the US dollar in international trade.
Additionally, Saudi Arabia has joined Project Bridge, collaborative effort exploring a digital currency platform shared among central banks and commercial banks.
This move by Saudi Arabi marks the beginning of a major shift in global economic dynamics, through its full implications on international trade and finance remain to be seen.[:]