Iran signs monetary contract with Russia to enhance bilateral trade
(MENAFN) Governor of the Central bank of Iran (CBI), Mohammadreza Farzin, announced the signing of a significant monetary contract between Tehran and Moscow aimed at facilitating bilateral trade exchanges. Speaking to reporters on Saturday, Farzin disclosed that during a recent meeting in Saint Petersburg, he and his Russian counterpart finalized agreements between the two nations.
Key outcomes of the meeting included the signing of a memorandum of understanding (MOU) outlining joint measures for expanding economic and monetary ties between Iran and Russia. A pivotal aspect of the new agreement allows for trade conducted in local currencies, marking a significant shift in bilateral economic transactions.
Farzin highlighted that under the new monetary contract, Iran and Russia will facilitate transactions using their respective banking systems: Iran's Shetab banking system will be integrated with Russia's MIR interbank system by the end of August. This integration will enable Iranian nationals to withdraw rubles from Russian ATMs using their Iranian banking cards.
The CBI governor outlined the phased development of the initiative: initially linking payment systems, followed by reciprocal ATM usage, and ultimately enabling cross-border card payments at retail terminals in both countries. This multi-stage approach aims to enhance convenience and efficiency for both Iranian and Russian citizens engaging in financial transactions across borders.
In previous announcements, both Iranian and Russian officials had indicated ongoing discussions and preparations for integrating the Mir and Shetab payment systems. The recent agreements mark a concrete step towards operationalizing these plans, reflecting a deeper commitment to strengthening economic ties between Iran and Russia through enhanced financial connectivity.
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