Central bank of Iran launches process to link national payment network with Russia
Date
11/12/2024 4:08:43 AM
(MENAFN) The Central bank of Iran announced today the launch of the process to link its national payment network, "Shtab," with Russia's "Mir" card system. This connection is aimed at facilitating cross-border transactions, allowing tourists from both countries to withdraw their respective currencies—rubles and riyals—from ATMs in the other country using their local bank cards. This move marks a significant step in strengthening economic ties between Iran and Russia.
Mohammad Reza Farzin, the head of the Central Bank of Iran, described the link as a major advancement in eliminating the US dollar from financial exchanges between the two countries. He emphasized that by linking the national payment networks of both nations, electronic payment barriers have been lifted, paving the way for a new chapter in economic and cultural cooperation between Iran and Russia.
Farzin also highlighted that, currently, customers from four Iranian banks can use their Shetab cards to withdraw rubles from ATMs in Russia, using their rial balance. This development offers greater convenience for Iranian travelers and businesses operating in Russia, further deepening financial integration between the two nations.
The linkage also bypasses the need for the international financial messaging system, SWIFT. Farzin noted that the "SPAM" system has become a viable alternative to SWIFT for transactions with Russia. Iran is also exploring similar financial cooperation initiatives with other countries, aiming to reduce reliance on traditional international payment systems.
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