London  - Gulf Arab states and several leading countries have been in secret talks on replacing the dollar as the prime currency on the world's oil markets, Britain's Independent newspaper reported Tuesday.

The report, quoting banking industry sources in the Gulf and Hong Kong, said finance ministers and central bank governors from China, Russia, Japan and France have been party to the meetings.

The talks have centred around a scheme to switch from the dollar to a basket of currencies, including the Chinese yuan, Japanese dollar, the euro, gold, and a planned common currency across nations that make up the Gulf Cooperation Council, the Independent said.

The report suggests that the plans for non-dollar oil payments may be behind the sudden rise in the gold price and could spell what the Independent called "an extraordinary transition from dollar markets within nine years".

While the US is aware of meetings taking place, it did not have details of what was being discussed, according to the Independent. Brazil and India have meanwhile expressed interest in moves to replace the dollar as the currency in oil deals.

"These plans will change the face of international financial transactions," an unnamed Chinese banker was quoted as saying in the report. (dpa)