[NYTr] Iran dumping dollars: puts 70% of reserves in other currencies, gold

[All the News That Doesn't Fit]

AFP via Daily Times (Pakistan) - Sep 18, 2007
http://www.dailytimes.com.pk/default.asp?page=2007%5C09%5C18%5Cstory_18-9-2007_pg5_18

Exiting dollar, Iran puts 70% of reserves in other currencies, gold

TEHRAN, Iran -- Iran has massively cut down its dependence on the
dollar in the face of US pressure over its nuclear programme and
now 70 percent of its foreign assets are saved in other currencies
or in gold, an official said on Monday.

"fter the strong fall in the dollar and the decision to transfer
our foreign currency reserves into euros, we have taken measures
and now 70 percent of Iranian assets are in euros, other currencies,
or gold," said Deputy Economy Minister Mohammad Zahedi Vafa.

Iran had announced earlier this year it was switching out of dollars
and would instead save its foreign assets in other currencies to
dampen the effects of US pressure on its financial system.

The United States has been seeking to make international banking
transactions harder for Iran as another tool to pressure Tehran
into backing down over its controversial nuclear programme.

Several European banks have drastically cut business with Iran as
result of pressure from the United States.

Caretaker Oil Minister Gholam Hossein Nozari has said that already
60 percent of Iran's oil transactions for export are carried out
in euros.

Iran's foreign currency reserves held in banks abroad have risen
by 37 percent over the past year to the equivalent of $65 billion
as of the end of June 2007, the central bank said last week.

The world's fourth largest oil exporter and the second in OPEC has
been helped by soaring crude prices, which are helping the country
weather domestic economic problems.