More than two decades after the second Gulf War, the Iraqi parliament wants to get rid of the dollar again. Why not embrace bitcoin?
Iraqi parliament no longer wants the dollar
We often hear that the Second Gulf War was a “war for oil”. It was above all a war for the petrodollar.
As explained in a previous article, it was above all a matter of canceling Saddam Hussein’s decision to denominate Iraqi oil in euros rather than in dollars.
24 years later, the Finance Committee of the Iraqi Parliament calls for diversifying oil sales into currencies other than the dollar. The commission proposed forcing the Oil Ministry to sell Iraqi oil in other currencies.
The goal is to circumvent American sanctions. Indeed, the United States exercises significant control over the Iraqi financial system. The Iraqi central bank is regularly prohibited from spending its own dollars.
“The US Treasury still uses the pretext of money laundering to impose sanctions on Iraqi banks. The country must put an end to these arbitrary decisions”indicates the communicated.
“The imposition of sanctions on Iraqi banks undermines and hinders the Central Bank’s efforts to reduce the gap between the official and parallel exchange rates”adds the press release.
The tone is rising with Washington using financial blackmail to try to dry up the financing of resistance factions. The latter harass the American military bases from which the Iraqi government has long demanded the total withdrawal, without success…
“It is clear that Iraq is economically dominated by the United States. Our government doesn’t really control its own money. We believe it is crucial to move away from dollar hegemony. This last has become a tool for imposing sanctions on countries. It is time for Iraq to rely on its national currency »had already declared the Iraqi MP and member of the Finance Committee Hussein Mouanes during an interview granted last year to The Cradle.
Iraq is in the same situation as Russia, which saw its 300 billion dollars and euros “frozen” at the start of 2022.
It is no coincidence that Iraq requested integration into the BRICS club. The country of two rivers will certainly be able to join Iran, Saudi Arabia and the United Arab Emirates if it maintains the course of dedollarization.
Furthermore, if Iraq truly wants to control its international foreign exchange reserves, it is towards bitcoin that it must turn.
Bitcoin is a two-in-one reserve currency and payment system. It makes it possible to circumvent the SWIFT network and the goodwill of the countries issuing the major international reserve currencies.
Stateless, uncensorable and absolute store of value… Bitcoin is designed to replace the greenback as the international reserve currency par excellence.
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