41 votes

India to pay gold for Iran oil, China may follow


India has reportedly agreed to pay Tehran in gold for the oil it buys, in a move aimed at protecting Delhi from US-sanctions targeting countries who trade with Iran. China, another buyer of Iranian oil, may follow Delhi’s lead.

Delhi’s current plan is to effect payments through two state-owned banks, India’s UCO Bank and Turkey’s Halk Bankasi, Turkey being another country refusing to join the sanction spree.

Trending on the Web

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.

We're all Keynesians now


One of our first actions in Iraq

when we had control, was to return oil trading to the dollar. First thing we did in Libya was start a central bank.

China is using the barter system for Iranian oil

I read a couple months ago on Kitco news that both China and India went into negotiations with Iran on how they could sidestep the sanctions against Iran - not being able to use our US FRNs to pay for Iranian oil. Iran & China agreed that China would send the $ equivalent of their manufactured goods for the oil. Iran and India could not agree because the Iranians didn't like what India had to export.

This would mean that India has finally come up with something that benefits Iran - Gold.


before you know it they will be minting gold coins, then they will have a stronger economy than anyone else, and with oil to boot... and all because we cut them off from our FRN's... who knew?

I think its brilliant

screw the banks and deal with hard assets, gold for oil.
It just makes sense, despite the shipping expenses of the medium. If China follows suit. We may be getting a gold standard back via the Chinese. That would be great!

Ron Paul 2012!

This is a positive

This is a positive development for the American people. Its a huge step towards getting our freedom back.

"The vast sums involved in

"The vast sums involved in these transactions are expected, furthermore, to boost the price of gold and depress the value of the dollar on world markets."


So, is this the real reason for our government beating the wars drums...the threat that the dollar will lose reserve currency status?

Wasn't Saddam planning to do the same thing before we attacked Iraq?

Isn't everything including war about money?

Saddam was trading Iraqi oil

Saddam was trading Iraqi oil in Euros. Qadaffi wanted gold for Lybian oil.

And now those two countries

And now those two countries are in turmoil and their leaders are dead.

Are Americans so intelligently challenged that aren't capable of connecting the dots?

Great find.

This is significant, indeed. Thanks for posting the article.

p.s. loved your "chickens coming home to roost" comment.

Hark, I hear the sound of

Hark, I hear the sound of chickens coming home to roost...

This space available

this is major bad news..