Iran General NewsIndia said to deny local branch for Iran bank...

India said to deny local branch for Iran bank on U.S. pressure

-

Bloomberg: India barred an Iranian bank from opening a branch in the country because of U.S. pressure, making it harder for the Persian Gulf state to settle oil trades with its second-biggest crude customer.
Bloomberg

By Anto Antony and Pratish Narayanan

India barred an Iranian bank from opening a branch in the country because of U.S. pressure, making it harder for the Persian Gulf state to settle oil trades with its second-biggest crude customer, two people with knowledge of the matter said.

Parsian Bank, based in Tehran, had sought approval for a Mumbai office to facilitate trade transactions in rupees, the people said, declining to be identified because the information is confidential.

An official at Parsian Bank in Tehran who declined to be identified said the lender was yet to be granted a permit. A person who answered the telephone at India’s finance ministry in New Delhi said D.S. Malik, a spokesman, was unavailable to comment.

U.S. Secretary of State Hillary Clinton will meet Indian leaders in New Delhi today where she will discuss assurances from the South Asian nation that it is curtailing Iranian crude imports. The U.S. and its allies are seeking international support for a campaign to pressure the Islamic Republic over its nuclear program which they say is a cover for building atomic weapons and Iran says is for civilian purposes.
Banking Transactions

India, which relies on imports for almost 80 percent of its oil requirements, has faced difficulties finding banks willing to transfer payments to Iran since the Reserve Bank of India in December 2010 dismantled a mechanism to settle trade in euros and dollars.

Transactions are now routed through Ankara-based Turkiye Halk Bankasi AS (HALKB), which has told Indian refiners it may no longer be able to act as an intermediary when European Union sanctions take effect in July, four people with knowledge of the matter said Jan. 10.

India’s government-run UCO Bank (UCO) has been approved to be used by Indian refiners to deposit as much as 45 percent of crude payments in rupees, which will then be transferred to Iran, people with knowledge of the matter said March 28.

A Mumbai branch for Parsian would have made such transactions easier and may have helped skirt U.S. sanctions, the two people said today.

Latest news

Iran’s 2023 Budget Shrouded In Doubt

On January 22, the Majlis (parliament) approved the draft of the 2023 budget bill proposed by regime president Ebrahim...

Iran: People of Khoy Still Reeling From 5.9-Magnitude Earthquake

An earthquake with a magnitude of 5.9 struck northwest Iran on Saturday, killing at least three people and injuring...

Iran’s Unsolvable Air Pollution Problem

Air pollution will remain at dangerous levels and will increase for the next few days in most big cities,...

The World Must Acknowledge the Iranian People’s Right to Self-defense

Victor Hugo once said: “When dictatorship is a fact, revolution becomes a right.” Throughout history, this has been the...

Iran: 60% Of Population Is Poor

The livelihood baskets of the Iranian people are shrinking dramatically. This, in turn, has introduced new concerns to protect...

The implications of EU’s terrorist designation of the Revolutionary Guards (IRGC)

The European Parliament called on January 18 for the European Union to list Iran's Revolutionary Guards (IRGC) as a...

Must read

Iran kicks out Swedish diplomat

The Local: Iran has expelled a Swedish diplomat from...

Enemies cannot stop our nuclear work: Iran

Reuters: Iranian President Mahmoud Ahmadinejad said on Friday Iran's...

You might also likeRELATED
Recommended to you