EU Circumvents Iran Sanctions with New Financial Channel
The European Union is considering creating a “special mechanism” for payments related to Iran’s exports and imports to counter American sanctions. Europe’s goal is to save the JCPOA and encourage foreign companies to trade with Iran.
Federica Mogherini, the European Union’s foreign policy chief, says the union is planning to establish a special financial payment channel to facilitate trade with Iran and circumvent American sanctions.
According to the German news agency, Mogherini said on Monday, September 24 (September 2 in the Persian calendar), after meeting with representatives of Britain, France, China, Russia, Germany, and Iran on the sidelines of the UN General Assembly in New York, that all parties agreed that Iran has complied with its commitments in the 2015 nuclear agreement (JCPOA).
She noted that the establishment of this new financial channel would allow companies, including those involved in oil exports, to conduct business with Iran without facing American sanctions.
Mogherini said the goal of this solution is to create a channel for “legitimate financial transactions” with Iran. This channel would enable European companies to continue trading with Iran. She described saving the JCPOA as consistent with “international interests.”
A meeting of Iran’s foreign minister and the P4+1 group took place Monday evening on the sidelines of the UN General Assembly, chaired by Federica Mogherini.
In the final statement of this meeting, foreign ministers emphasized the commitment of JCPOA signatory countries to fully implement the agreement and issues such as maintaining and expanding broader economic relations with Iran and continuing effective financial channels, the continuation of oil and gas condensate exports, and oil and petrochemical products.
Foreign ministers also welcomed the proposal to establish a “mechanism” and special financial channel to facilitate payments related to Iran’s exports (including oil) and imports.
The United States, which withdrew from the JCPOA in May of this year, imposed sanctions on Iran in August in the first round and prohibited foreign companies from trading with Iran. The second round of sanctions is set to be implemented in November. In this round, Iranian oil sales will be targeted.
The United States has warned that it will bring Iranian oil purchases to zero. The country has also stated that its goal is to sit down at the negotiating table with Iran and reach an agreement that also includes Iran’s missile program and the country’s regional behavior.
Source: DW
