Sanctions prelude to dollar's extinction

Source: Press TV
http://www.presstv.ir/detail.aspx?id=137880§ionid=351020101


Iran's President Mahmoud Ahmadinejad insists that the anti-Iran sanctions will serve as a stepping stone to eradicate domination of (US) dollar in the world.

President Ahmadinejad also reiterated that those countries that have followed the US lead in the sanctions efforts have denied themselves any role in Iran's economy, IRNA reported Sunday.

In an address to an event commemorating the international week of mosques, the president expounded on measures to encounter Western sanctions on Iran and emphasized that we will used the sanctions as an opportunity to expand the country's domestic manufacturing and globalizing Iranian commodities and products.

The Iranian president described the US-led sanctions as an oppressive effort and a sort of a psychological warfare in order to force the Iranian nation to compromise on their principles, adding that "this nation will never compromise on its independence, integrity, principles, demanding justice and opposing oppression."

President Ahmadinejad also reiterated that the time of those behind the anti-Iran sanctions is coming to a closure as they have further discredited themselves by adopting such measures.

UN calls for scraping dollar

Source: Press TV
http://www.presstv.ir/detail.aspx?id=132688&sectionid=3510213

A UN report released on Tuesday calls for abandoning the US dollar as the main global reserve currency to achieve greater stability in the world financial system.

"The dollar has proved not to be a stable store of value, which is a requisite for a stable reserve currency," said the World Economic and Social Survey 2010.

The use of the dollar for international trade came under increasing scrutiny when the US economy fell into recession.

The report said a new global reserve system should be created, which "must not be based on a single currency or even multiple national currencies." Instead, the report advocates using assistance from the International Monetary Fund to create a standardized international system for liquidity transfer.

The report added that developing countries have been hit hard by the US dollar's loss of value in recent years.

"Motivated in part by needs for self-insurance against volatility in commodity markets and capital flows, many developing countries accumulated vast amounts of such (US dollar) reserves during the 2000s," it said.

Nobel Prize-winning economist Joseph Stiglitz, who previously chaired a UN expert commission that considered ways of overhauling the global financial system, has advocated the creation of a new reserve currency system.

Russia and China have also supported the idea.