Official: Iran, Iraq exclude dollar from mutual trade

Iran and Iraq have stopped using the US dollar in trade relations, announced the head of Iran-iraq Joint Chamber of Commerce.

According to Fars News Agency, Yahya Al-e Es’haq further said on Saturday, “Dollar-based trade between Iran and Iraq has stopped and most exchanges are made in euro, rial and dinar.”

He added that other exchanges between Iranian and Iraqi exporters are in the form of barter trade.

Al-e Es’haq said only a small portion of the $8-billion trade between Iran and Iraq is channeled through the banking sector.

In a relevant development on Wednesday, Iran’s Ambassador to Iraq Iraj Masjedi called on the Iraqi foreign ministry to replace the US dollar with Iran’s national currency (rial) to issue visa for pilgrims who are due to visit Iraq during Arbaeen — one of the currency swap moves Iran is making to counter the US sanctions.

Masjedi’s remarks, which came in a meeting with Iraqi Foreign Minister Ibrahim al-jafari in Baghdad, were in line with Iran’s policies to confront US sanctions after Washington’s withdrawal from the 2015 nuclear deal.

Arbaeen marks the 40th day after the martyrdom anniversary of Imam Hussein (PBUH), the Third Shia Imam.

Jafari praised Iran for remaining beside Iraq in hard times, specially in the war on the Daesh terrorist group, and underlined Baghdad’s readiness to cooperate and coordinate efforts with Iran in holding hold Arabaeen ceremonies.