Skip to comments.Mideast Banks Revolt Against US Dollar
Posted on 03/15/2006 8:58:19 AM PST by ex-Texan
A number of Middle Eastern central banks said on Tuesday that they would seek to switch reserves from the US greenback to euros.
The United Arab Emirates (UAE) said that it was considering moving one-tenth of its dollar reserves to the euro, while the governor of the Saudi Arabian central bank condemned the decision by the United States to force Dubai Ports World to transfer its ownership to a "US entity", the UK Independent reported.
"Is it protectionism or discrimination? Is it okay for US companies to buy everywhere but it is not okay for other companies to buy the US?" said Hamad Saud Al Sayyari, the governor of the Saudi Arabian monetary authority.
The head of the UAE central bank, Sultan Nasser Al Suweidi, said that the bank was considering converting 10 percent of its reserves from dollars to euros.
"They are contravening their own principles," said Suweidi. "Investors are going to take this into consideration [and] will look at investment opportunities through new binoculars."
The Commercial Bank of Syria has already switched the state's foreign currency transactions from dollars to euros, Duraid Durgham head of the state-owned bank said. The decision by the bank of Syria follows the announcement by the White House calling on all US financial institutions to end correspondent accounts with Syria due to money-laundering concerns.
Syria's finance minister Mohammed Al Hussein said: "Syria affirms that this decision and its timing are fundamentally political."
This all comes down to Petro Euros vs. Petro Dollars. Arab politics is hard to gauge. But my personal opinion is that these events may prove negative for Americans struggling with monthly bills.
"Oh the Dubai Port Deal will have NO effect on our economy. Oh no, none. Dubabi will just grin and thank us for peeing on them"
Good. They can earn their terror supporting dollars elswhere.
Anyone putting their money in Euros is committing financial suicide... take a look at the short yet stormy history of the Euro and the stability of the political basis for that currency. I'll be amazed if it's still in use in 10 years from now.
This is what happens when you follow economic advice from Chuck Schumer and Hillary! Clinton.
You don't have a clue about economics do you? too many Freepers are substituting emotion for common sense. Believe it or not we do need friends in the International community..unless you don't care about our standard of living.
This trend will continue... because the US is using the dollar domiance to police the entire world moneyflow,
what to catch a few money-laundering criminals and terrorists?
Welcome to world police state!
I'm suggesting that Iran is a bit more devious and far more clever than that. They also love to strut and posture. Recall their open bragging about how they fooled UN atomic energy inspectors? Echoes of Saddam? Arabs enjoy playing games, cheating openly, and love victory by duplicity.
I care about national integrity and putting it before greed.
I'm not taking any advice from Hill and Chuck! Or was your use of the "you" simply rhetorical?
If we take the path pushed by the isolationist Paleo-cons we will all feel good about our "national integrity" while standing in soup lines. It is economic insanity.
I once had some political muscle interfere with an investment I was participating in.
I didn't get mad. I got even.
I hope they do invest it in the crappy Euro. Less money to fund the maddrass hate factories and fund terrorist organizations.
IMO, They have every right to be angry. I would be.
If you cared about integrity you'd never compare the UAE to terrorists thugs like Osama.
Far as I'm concerned, they have every right to put their money in Euros given the Disgraceful conduct of our politicians and people such as yourself. We wouldn't stomach France & Germany's cracks in 2002, which didn't go to these extremes, and the UAE and middle eastern nations shouldn't condone this.
Uh, I am not a big fan of Hillary but you can't blame this on her.
Just wondering if I need to photoshop a crying baby emblem for the republican obedient?
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