Economy, Business And Markets

S. Africa Minister, Tayyebnia Discuss Banking Relations

S. Africa Minister, Tayyebnia Discuss Banking Relations
S. Africa Minister, Tayyebnia Discuss Banking Relations

Iran and South Africa have signed an agreement to establish correspondent banking relations between their lenders, said Ali Tayyebnia, the minister of economy.  

“After the lifting of sanctions [in January] there are no restrictions for starting correspondent banking relations. We should pave the way [for the expansion of trade ties] through removing barriers facing banks and financial institutions,” he said on the sidelines of a meeting with his visiting South African counterpart, Pravin Gordhan, in Tehran late Saturday, MNA reported.

Pointing to the country’s role and influence in that part of the world, Tayyebnia said “South Africa is Iran’s gateway to the African continent.”

The two nations have always had close relations that continued even during the sanction years that ended in January, although there were major disruptions in the export of oil to the African state and at one point the latter stopped buying Iranian crude.

Gordhan said his country is seeking to quickly start correspondent banking relations with Iran following the lifting of sanctions

“South Africa wishes to expand its commercial and financial ties with Iran, and boosting banking relations, in particular, is a prerequisite for achieving such goals,” he said as quoted by SHADA.

Gordhan referred to MTN, South African mobile telecommunication giant, and Arya Sasol Polymer Company as two successful experiences of South African companies’ partnering with Iranian firms. “In light of the new investment opportunities, South African companies are ready to invest in Iran.”

President Jacob Zuma is heading a 180-member delegation on a visit to Iran. The two countries have signed several agreements to expand cooperation in various fields including agriculture, water management, insurance, and energy.