Saudi Arabia ends 50-year oil-for-dollar dependency treaty with US

Saudi Arabia has brought an end to a 50-year-old pact with the United States, relieving itself from the obligation to exclusively trade oil for US currency in return for primarily military aid.

This agreement, initiated to stabilize the oil market following the turmoil caused by the US abolishing the gold standard in 1971 and the oil crisis of 1973-1974, officially expired on June 9.

According to reports from NEWSru.co.il, the decision not to extend the treaty became apparent in 2023 when Saudi Arabia forged an agreement with China for future oil transactions, to be conducted in yuan.