Economy, Business And Markets

Bank Sepah’s German Branch Joins Target 2

Bank Sepah’s German Branch Joins Target 2Bank Sepah’s German Branch Joins Target 2

Bank Sepah’s branch in Frankfurt has connected to Target 2, an interbank payment system, said Bank Sepah’s CEO on Tuesday

“The Frankfurt branch of Bank Sepah resumed operation following the lifting of sanctions against the bank on January. Now the bank has managed to meet the German regulator’s criteria and get to connect to Target 2,” Mohammad Kazem Choghazardi was also quoted as saying by the bank’s website.

Target 2 is an interbank payment system for the real-time processing of cross-border transfers throughout the European Union.

Bank Sepah’s branch in Germany was launched in 1978, as a sign of the traditionally good trade relations between Germany and Iran.

The German side hailed Bank Sepah’s recent moves to raise capital, improve management and human resources, equip the Frankfurt office with advanced computer systems and reform its organizational structure in line with international norms.

Earlier in May, in a meeting between the Federal Financial Supervisory Authority of Germany and Choghazardi in Tehran, an agreement was reached for Sepah to reopen its Frankfurt branch.

Bank Sepah’s operations in Europe were halted in 2007 following sanctions imposed on the bank. However, the United Nations removed Sepah and its international branches from the sanctions list in January 2016.