India to pay for Iranian crude oil in rupee

After having explored various options to make payments and having run out of them, India is understood to have decided to pay Iran for the crude oil supplied by it in rupee terms. After discussions between the Finance Ministry and the Petroleum and Natural Gas Ministry, it has been decided that the Ministry will seek the note of the Union Cabinet to switch over to the rupee payment system for the Iranian crude, officials in the Petroleum Ministry said.

Some guy posted the same thread in Break.Alter. news so i will copy from him because i think this deserves a thread here also.

This is a huge news ...this will have huge implications and consequences for the dollar ... is this start of dollar failing . Snippet from the story was most interesting for me.

In February, India started making euro payments through an Iranian bank based in Germany. But that had to be stopped soon after Germany came under pressure from the United States to put an end to this practice.

So the visit of Obama in India was inefficent .


www.thehindu.com...

Wow, the only thing holding the USD demand up is its a median for oil trade. Per OPEC all oil purchases must be made in USD. once that is gone there will be no more demand for the USD and well thats TEOTWAWKI. (The end of the world as we know it)