Iran may switch to U.A.E. dirhams for oil sales, Oil Daily says

Bloomberg: Iran is considering switching to the United Arab Emirates’ dirham from the euro for its oil sales to Europe to limit the impact of new sanctions, International Oil Daily reported, citing two unidentified industry executives.

By Christian Schmollinger

July 15 (Bloomberg) — Iran is considering switching to the United Arab Emirates’ dirham from the euro for its oil sales to Europe to limit the impact of new sanctions, International Oil Daily reported, citing two unidentified industry executives.

National Iranian Oil Co. has been communicating with European customers about the change without making a final decision, the newsletter said. The country currently prices its exports in U.S. dollars, the Oil Daily said.

Iran may not be able to persuade European customers to make the switch because of unfamiliarity with the dirham, which is pegged to the U.S. dollar, the publication said.

New European Union sanctions that may be approved at the end of the month would add to restrictions against Iranian banks and also the operations of the country’s central bank, the newspaper said.