Armstrong Economics Blog/Politics Re-Posted Mar 27, 2023 by Martin Armstrong
China accomplished a once unthinkable feat — a peace treaty between Iran and Saudi Arabia. The two countries have been sworn enemies since the beginning of time, representing conflicting Shiite and Sunni Muslim groups that have been battling since their religion was founded. The two nations have been fighting a proxy war in Yemen that has led to over 150,000 deaths, which is another major story not covered by the mainstream media. This story has only received negative attention in the Western media because it is a major win for China who is now seen as the adult in the room on the international stage.
The press release issued by Saudi Arabia is astonishing, given the deep hatred it had for Iran. Saudi Arabia is now keen on “developing good neighborly relations…in light of their brotherly ties.”
“The three countries announce that an agreement has been reached between the Kingdom of Saudi Arabia and the Islamic Republic of Iran, that includes an agreement to resume diplomatic relations between them and re-open their embassies and missions within a period not exceeding two months, and the agreement includes their affirmation of the respect for the sovereignty of states and the non-interference in internal affairs of states. They also agreed that the ministers of foreign affairs of both countries shall meet to implement this, arrange for the return of their ambassadors, and discuss means of enhancing bilateral relations. They also agreed to implement the Security Cooperation Agreement.”
Rumors are swirling about what this peace treaty could entail. Saudi Arabia and Iran could join BRICs, the alliance between Brazil, Russia, India, and China. If the two nations join, all major energy exporters will be within this alliance. Half of the world’s population would be under this alliance as well. There would be absolutely no need for Western interference in this situation.
The dollar’s dominance would be at risk. The Saudis are already discussing settling oil transactions in the yuan instead of the dollar. This will seriously damage the dollar’s ability to remain the standard reserve currency. China’s rise to becoming the financial capital of the world is happening right before our eyes.