UAE cenbank says nothing can replace the dollar

The central bank chief for the United Arab Emirates said he saw weakness in the dollar as a "temporary situation" and expressed support for the greenback, saying nothing could replace it as a reserve currency.

"There is no other currency to replace the dollar, not the euro," Central Bank Governor Sultan Nasser al-Suweidi told reporters on Sunday. "It is the currency for investment."

The comments echo those made several days earlier when Suweidi said the UAE was not diversifying its reserves away from the dollar after the country's decision to drop plans to join a Gulf Arab currency union fanned speculation it could alter its dollar peg.