Iran, Turkey to Set up Mechanism to Bust US Sanctions

Iran’s Ambassador to Turkey Mohammad Farazmand announced that Iran and Turkey are working on establishment of a new anti-sanctions financial mechanism to protect mutual trade and economic ties.

“Iran exports a large volume of gas to Turkey and we need a new mechanism to be created to ease financial transactions via our national currencies,” Farazmand said, adding that the wo sides are working on establishment of a new anti-sanctions financial mechanism to protect mutual trade and economic ties.

“We are on the process of establishing a joint bank, as well,” he informed.

“All countries are entitled to develop common trade ties with each other and nothing illegal has been done in this regard,” Farazmand said.

“This is not done to prevent US sanctions. We do not want to circumvent regulations,” he underlined, “However, the US is carrying out an economic terrorism besides sanctions on Iran which is violating our countries’ rights.”

According to Iranian officials, Turkey is vehemently interested in increasing volume of gas purchase from Iran.

The country is also among criticizers of US sanctions on Iranian oil exports.

Back in mid-May, Governor General of Tehran Province Anoushiravan Mohseni Bandpey and Turkey’s Ambassador to Iran Derya Örs hailed the two countries’ close ties, and discussed ways to ease trade between the two sides.

Bandpey, during the meeting with Örs, called for efforts to remove any barriers to trade transactions between Iran and Turkey.

The two countries enjoy high potentials and capacities and can succeed in removing barriers to bilateral trade, he added.

Turkey has always been a good trade partner for Iran in difficult time, he said, adding, “In addition, Turkey is considered as one of Iran’s tourism destinations and Tehran is also a good destination for Turkish tourists with its many tourism attractions.”

With proper targeting on investment, mutual trade and business relations can be expanded, the governor general stated.

Given the suitable capacities, trade and business ties between Tehran and Ankara can be developed at a very high level, Bandpey reiterated.

He went on to say that barriers existing on the way of bilateral trade exchanges between the two countries should first be identified.

As two major powers in the region, if Iran and Turkey join hands, bilateral trade and economic exchanges will be boosted at a much better level, he emphasized.

For his part in the meeting, Örs pointed to the longstanding and age-old relationship between Iran and Turkey and said, “Despite all ups and downs in the long run of history, relationship between Iran and Turkey has always been a model among regional countries.”

Turkey attaches great importance to its relations with the Islamic Republic of Iran in all fields, the ambassador added.

In April, Iranian Foreign Minister Mohammad Javad Zarif announced that Tehran and Ankara have decided to launch a mechanism similar to EU-proposed INSTEX (Instrument for Supporting Trade Exchanges with Iran) to further expand and facilitate bilateral trade relations.

“Iran and Turkey have agreed to cooperate on five specific fields, including preferential trade, energy, banking, using national currencies and establishing a mechanism similar to INSTEX in common trade," Zarif told reporters in Tehran on April 18, after returning from his two-day trip to Syria and Turkey.

He also informed that in his meetings with the Turkish President, head of the Parliament, foreign minister and other officials, they had conferred on mutual, regional and international affairs.

“In these meetings, we addressed issued related to Syria and Idlib, presence of American Forces in Syria as well as Venezuela and the US interference in that country’s affairs besides the changes and developments in North Africa."

“The Turkish government has always disagreed with US-led sanctions on Iran and the country's illegal acts against the IRGC,” he said, hailing Turkey’s stance.