Economy, Business And Markets

Austria Encouraging Banks to Restart Iran Ties

Austria Encouraging Banks to Restart Iran Ties  Austria Encouraging Banks to Restart Iran Ties

A business delegation from the Austrian state of Carinthia held talks with private sector leaders and economic experts in Tehran on Wednesday. The team is headed by the state’s economy minister.

The Austrian ambassador to Tehran later said an Iranian business delegation will travel to his country in the fall. Friedrich Stift also said an Austrian banking delegation will soon visit Iran for talks on updating financial and banking relations between the two countries.  

“The Austrian government along with institutions, namely the chamber of commerce, are talking with and encouraging Austrian banks to renew ties to Iran,” the envoy said, TCCIMA’s website reported.  

Christian Benger, the economy minister of the government of Carinthia, said Iran’s market is important to Austria.  “Resolving banking issues between the two countries is also important for us. We are negotiating with our banks and monetary institutions to incentivize and encourage them to work in harmony with Iran.”

He also referred to the Austrian delegation’s tour of the central city of Kerman where an agreement had been signed. Referring to Iran’s share of hardly 1% in Austria’s international trade, Benger said, “We believe that this level of economic exchange is by no means deserving of both countries’ economic potential, and we hope that Iran’s share in Austria’s foreign trade would soon be in the double digits.”

 Loans Made Available  

Carinthia Chamber of Commerce head Yorgen Mendel said the transfer of technology and knowledge is one of the main principles of Austria’s foreign economic agenda. “The Iranian economy and market are important to us because in collaborating with Iran, not only can we build economic links to this country, but we also can penetrate into other regional markets.”

Pointing out that the Austrian Kontrollbank guarantees his country’s export to help develop international relations, he said the bank has started giving loans as of April to expand commerce between Austrian and Iranian companies.  He did not provide details.

Masoud Khansari, head of the Tehran Chamber of Commerce, Industries, Mines and Agriculture described the two-way banking relations as a turning point in the restoration of Europe’s economic ties with Iran.

However, he   cautioned that even though some Austrian banks have reestablished dealings with Iran, that country’s banks have not been as forthcoming as would have been expected from a friendly and neutral nation.

Khansari also referred to China, India and South Korea as examples of countries that have overtaken other countries in renewing banking relations and have paved the way for lucrative business and economic deals by providing their banks incentives for restarting business with Iran.