51360
Foreign financial institutions may process Iran transactions denominated in US dollars. 
Foreign financial institutions may process Iran transactions denominated in US dollars. 

US Easing Iran Dollar Deals 

The new Treasury language says foreign transactions with non-sanctioned entities that are nonetheless “minority owned” or “controlled in whole or in part by an Iranian or Iran-related person on the SDN list” are “not necessarily sanctionable” under US re

US Easing Iran Dollar Deals 

The United States is further easing sanctions on Iran, making it easier for foreign firms to do business with the country following last year's nuclear deal.
On Friday the US Treasury Department published new guidance for businesses that said some previously prohibited dollar transactions with Iran by offshore banking institutions are allowed as long as they do not enter the US financial system.
The clarifications from Treasury's Office of Foreign Assets Control (OFAC) also remove a blanket ban on foreign transactions with Iranian firms that may be controlled by a person who remains subject to US sanctions.
Iran and the six world powers -- the US, Britain, France, China, Russia plus Germany – signed a nuclear agreement, known as the Joint Comprehensive Plan of Action, in July of last year.
In accordance with the JCPOA, which came into effect in January, Iran agreed to limitations on its nuclear program in exchange for the removal of the international sanctions.
The US, however, has continued to maintain sanctions on many Iranian companies and individuals, prompting complaints from Tehran that Washington has failed to implement its side of the deal.
Despite the nuclear agreement, which gave sanctions relief to Iran in return for it curtailing its nuclear program, the US maintains sanctions on Iran and certain Iranian companies and people. They are known as "specially designated nationals" or SDNs, for a variety of reasons, including Iran's ballistic missile program, human rights record and support for groups the US claims to be terrorist organizations.
"Foreign financial institutions, including foreign-incorporated subsidiaries of US financial institutions, may process transactions denominated in US dollars or maintain  US dollar-denominated accounts that involve Iran or persons ordinarily resident in Iran, or in which there is an interest of a person whose property and interests in property are blocked solely pursuant to Executive Order 13599 and section 560.211 of the ITSR, including NIOC, the CBI, and other individuals and entities that meet the definition of the government of Iran or an Iranian financial institution, provided that such transactions or account activities do not involve, directly or indirectly, the United States financial system or any United States person, and do not involve any person on the SDN List," says an updated statement available on the US Treasury website.
The new Treasury language says foreign transactions with non-sanctioned entities that are nonetheless "minority owned" or "controlled in whole or in part by an Iranian or Iran-related person on the SDN list" are "not necessarily sanctionable" under US regulations.
"It is not necessarily sanctionable for a non-US person to engage in transactions with an entity that is not on the SDN List but that is minority owned, or that is controlled in whole or in part, by an Iranian or Iran-related person on the SDN List," reads a newly-added guideline.
"However, OFAC recommends exercising caution when engaging in transactions with such entities to ensure that such transactions do not involve Iranian or Iran-related persons on the SDN."
Iran Grievances
Friday's steps by the Treasury come amid growing complaints from Iran that it is not getting the sanctions relief it deserves under the nuclear deal because remaining US sanctions have scared foreign companies from doing business in or with the country. The US insists it has met its obligations and blamed Iranian behavior for the reluctance of foreign companies do to business in Iran. At the same time, it has sought to reassure foreign companies that certain transactions with Iran will no longer be subject to US sanctions.
In a recent interview with the Guardian, Ali Akbar Salehi, the head of the country’s Atomic Energy Organization, had said while Iran has honored its commitments relating to the nuclear deal, the other side has not done enough to make good on its promises.
"While the other side – it’s very clear now to public opinion and it’s not a secret – has not really delivered on the promises; that the sanctions would be removed and that banking transactions would go back to normal, that trade would speed up and economic relations would be enhanced. These have not been materialized to the extent that we expected," he said.

Last month, the Treasury Department also granted the aviation giants Airbus and Boeing licenses to deliver planes to Tehran. The green light for aircraft sales allows Iran, a country of 80 million, to start rebuilding its aging fleet of Boeing and Airbus planes and other secondhand aircraft purchased from other countries.
Highlight: The new Treasury language says foreign transactions with non-sanctioned entities that are nonetheless "minority owned" or "controlled in whole or in part by an Iranian or Iran-related person on the SDN list" are "not necessarily sanctionable" under US regulations

 

Short URL : https://goo.gl/Uk0U0y
  1. https://goo.gl/wakb3f
  • https://goo.gl/wA4wwC
  • https://goo.gl/luKPNb
  • https://goo.gl/DwX79r
  • https://goo.gl/TX5eaw

You can also read ...

Turkey Determined to Protect Companies From US Sanctions
Turkey will take every initiative to protect its companies...
Westminster Group Hopeful Over Iran Airport Security Deal
UK-based company Westminster Group PLC is still hopeful it can...
Tesla’s Gigafactory in Nevada, the US
Tesla Inc has flown six planes full of robots and equipment...
Fiat Chrysler Recalls 4.8m Vehicles
Fiat Chrysler is warning the owners of approximately 4.8...
Further Hike in Unified USD Rate
The Central Bank of Iran has increased the US dollar's...
Iran’s 65-and-over population is projected to rise to make up 11% of the total population in 2036-37.
Iran’s population will get increasingly older over the next...
Head of Sistan-Baluchestan’s Ports and Maritime Organization Behrouz Aghaei (L) shakes hands with Managing Director of Life Trade Promotion Company Mohammad Arazesh after signing the agreement on May 23.
Life Trade Promotion Company signed an agreement with Sistan-...
Non-Oil Trade With Austria Surpasses 19%
Iran traded $364.34 million worth of non-oil goods with...

Add new comment

Read our comment policy before posting your viewpoints

Trending

Googleplus