Pyongyang, March 30 (KCNA) -- The U.S. dollar system that dominated the world financial market is on the verge of collapse.
As already known, the U.S. economy has been on the downturn since the financial crisis that hit the country in 2008 swept across the world, resulting in the depreciation of dollar as the world reserve currency.

It was proved by the announcement by the S&P, the international credit-evaluation body, that it would lower the U.S. credit level.

This prompted many countries to opt to decrease their dependence on the unstable U.S. dollar and positively promote the use of their national currencies.

Premier of the State Council of China Wen Jiabao, making a report on the work of the government at the 5th Meeting of the 11th Chinese National People's Congress, said the government expanded nationwide the scope of settlement of accounts in RMB.Y in foreign trade as well as in the direct foreign investment and other fields of investment.

In last December, China made a decision on changing from the U.S. dollar to RMB.Y in the settlement of accounts in trade with Japan. Recently it struck a 10 billion Yuan worth swap agreement with Mongolia.

It also concluded similar agreements totaling 1.3 trillion Yuan with 16 countries and regions since the 2008 financial crisis.

Member states of the ALBA have formally used the common currency "Sucre" as a trade currency among them since 2010 and look forward to applying it to all other nations of Latin America.

Member nations of the BRICS, namely Brazil, Russia, India, China and South Africa, are planning to fix RMB.Y as the common currency at a summit to be held in India.

It is a clear proof of the U.S. dollar losing its influence.

The U.S. dollar system does not prove effective in inflicting monetary sanctions on Iran.

The U.S. thwarted Iran, one of major oil exports in the world, in using the existing financial system in payment for oil with other nations and forced countries in Europe and other parts of the world not to import the Iranian oil.

But China and India that make up 40 percent of Iran's total oil exports expressed their willingness to continue importing the Iranian oil.

In response to the U.S. and the West's financial sanctions, China and India have paid for the oil in gold or their national currencies in line with agreements with Iran.

Now surfacing between the U.S. and newly emerging nations is difference in opinions over the nomination of a new president of the World Bank.

China, Brazil and other newly emerging nations proposed to nominate a presidential candidate from developing countries, free from the U.S. hereditary practice.

The World Bank reluctantly declared on Mar. 23 that it would nominate president from three proposed candidates.