CBI governor announces implementation of Iran-Russia monetary agreement
Date
1/19/2025 6:43:42 AM
(MENAFN) The Governor of the Central bank of Iran (CBI), who was accompanying the Iranian president on a visit to Russia, announced the successful implementation of the Iran-Russia monetary agreement and the integration of their card payment systems. Mohammadreza Farzin confirmed that both nations have operationalized their monetary agreement, which allows for the settlement of currencies based on a mutually agreed commercial exchange rate. This development marks an important step in enhancing economic relations between Iran and Russia.
Farzin further elaborated on the progress of another major initiative: the integration of Iran's Shetab payment network with Russia’s Mir system. He stated that this initiative has now entered its first phase of implementation, signaling the beginning of closer financial and banking cooperation between the two countries. The integration of these systems is expected to streamline cross-border transactions and provide a smoother experience for individuals and businesses using these payment platforms.
The CBI governor explained that a comprehensive joint action plan between the central banks of Iran and Russia has been put into practice. This plan focuses on three key areas: first, the use of national currencies in bilateral trade between the two countries; second, the integration of their banking messaging systems (SEPAM in Iran and SPFS in Russia); and third, the connection of their respective card payment networks. These steps are designed to reduce reliance on third-party financial systems and enhance the efficiency of financial exchanges.
Farzin highlighted the significance of the integration between the Mir and Shetab card networks, emphasizing how it represents a major milestone in the monetary agreement with Russia. He also noted that the settlement rate for the agreement is now directly linked to the exchange rate in Iran’s commercial exchange market, which will serve as the foundation for future transactions between the two countries. This agreement is expected to strengthen economic ties and facilitate smoother trade between Iran and Russia.
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