The New Silk Road from Turkey to UAE to Iran is Paved in Gold
Economic sanctions have long been used by Western nations to persuade the rest of the world to conform policy to suit Western ideals or economic interests. Often, sanctions have appeared to work for at least a time, albeit the people rather than government suffered most. But economic sanctions, almost always rooted in reliance upon the Federal Reserve Bank’s (Fed) dollar as the world’s currency of commerce and trade, are less effective of late. That’s because, as the value of the dollar plummets in the face of runaway currency expansion, countries are beginning to find ways of doing business without it. Some sanctions even ban use of the dollar, such as in Iran. Every trade arrangement that succeeds in circumventing the Fed’s dollar is another nail in its coffin.
At least since the 1979 Islamic revolution that deposed the Shah of Iran, and the subsequent U.S. hostage crisis, the relationship between the administrations of the U.S. and Iran warmed for a period before turning sour once more. In efforts to alter the Iranian leadership’s agenda while avoiding overt military conflict, the U.S., with the support of its allies, has implemented a series of economic sanctions against Iran. Although the first sanctions established in 1979 may have played a role in resolving the hostage crisis, the goals and behavior of the Iranian leaders remained unchanged. The most concerning goal to some is Iran’s determination to acquire the necessary materials and technology to develop nuclear power generation.
Since the early sanctions were
Is Iran’s trade with Turkey enough to sustain its economy in the face of the massive dollar sanctions currently in place? Perhaps not, but Turkey is not the only player in this game. China, India and Russia all continue to trade with Iran.