Venezuela stopped using U.S. dollars in its oil trade activities in response to U.S economic sanctions, international media reported on Friday.
Following the imposition of sanctions from Washington, the country started reporting its oil prices in Chinese Yuan, as opposed to the international trend of listing prices in U.S. dollars.
According to Today Venezuela News online, the country’s petroleum ministry listed the week’s closing price per barrel as 306.26 Yuan on its website, equivalent to US $46.70, up from 300.91 Yuan the week before.
Venezuelan President Nicolas Maduro said early September that the country would free itself from the U.S. by using the Yuan as currency in its oil trade.
He also explained that the country would implement a new system of international payments and create a basket of currencies to free Venezuela from the dollar.
In August Washington imposed economic sanctions against Venezuela after Maduro launched a new constituent assembly with the power to rewrite the Constitution and dissolve institutions.
U.S. President Donald Trump said he would not rule out a 'military option' in Venezuela to put an end to the economic and political crisis that has led to shortages of food and medicine and forced the government to eliminate its socialist programs.
The crises resulted in deadly anti-government protests that killed at least 120 victims between April and July.
On Aug. 25, the U.S. applied new sanctions on the Venezuelan government, banning Americans from doing business with the state-owned PDVSA oil and natural gas company.
The decision came hours after Maduro picked the head of the company to become the country’s new oil minister.
Anadolu Agency
energy@aa.com.tr