Russia's Foreign Minister Sergei Lavrov has suggested that the U.S. dollar could be losing its status as the world's most important currency. Mr Lavrov said that because the U.S. has imposed economic sanctions countries like Iran, Turkey and Russia, these countries could start conducting international business their own national currencies instead the dollar. addition, countries that have had trade tariffs imposed them the U.S. could also do trade their own currencies. This could include the global economic superpower China ditching the dollar. China is already setting trade deals its own currency. Experts say the U.S. dollar could lose its position the international reserve currency.
The U.S. dollar replaced the British pound as the international reserve currency the 1920s. Since then, most international trade has taken place using the dollar. Today, when China buys oil Iran, it pays U.S. dollars. This means more U.S. dollars flow of the U.S. than flow . The effect of this is the U.S. has a currency deficit as its dollars are the bank accounts other countries. Mr Lavrov said: "I'm confident that the grave abuse the role of the U.S. dollar as a global reserve currency will result over time the weakening and demise its role." China's currency the yuan is emerging as an alternative trading currency. Africa's most populous nation Nigeria has already started trading using the yuan.