ref date:2 Oct 2000 (ECON)
Iraq has pointed to way forward to a super-strong Euro
The government of Iraq has stated that it will no longer accept US dollars
for its oil.
As OPEC sells a huge percentage of its oil to the E.U., the E.U. should insist
it will only pay in Euros, cutting the artificial link between the
worlds biggest debtor nation (the USA) and the worlds most important commodity.
All oil sold from Scottish waters should be sold in Euros also. The effect?
Bolster the Euro and put the importance of the US Dollar back where it
belongs, a market of only 230 million people rather than the 600 million or
so in greater-Europe.
So Saddam does have the occasional idea, all be it fermented in madness. Why, afetr
all should we Europeans pay in US dollars and hence support the US dollar anyway?
The Euro, inspite of Denmarks decision, is still the way forward and changing the
way we pay for oil would really push the Euro up!