Russia, Iran seek to circumvent US sanctions with integrated banking systems

An integrated bank card system will allow Russians and Iranians to use their credit, ATM and debit cards in both countries.

December 26, 2017 22:05
1 minute read.

A warming relationship between Russia and Iran. (Reuters)

A warming relationship between Russia and Iran. (Reuters)


Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analysis from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user experience almost completely free of ads
  • Access to our Premium Section
  • Content from the award-winning Jerusalem Report and our monthly magazine to learn Hebrew - Ivrit
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief


NEW YORK – Iran’s central bank is increasingly relying on help from Moscow to circumvent sanctions from the United States, according to Tehran’s state-run news agency.

The media outlet, Press TV, reported on Tuesday that top Iranian banking officials are finalizing an agreement with their Russian counterparts that would integrate their two nations’ bank card systems – “a strategy both hope would make them immune to the financial sanctions of the United States in the future,” the organization reported.

The effort comes two months after Iran signed another agreement with Russia’s BPC Banking Technologies to connect its financial network with global payment systems – a critical target of past US sanctions that have sought to penalize individuals and entities involved in Iran’s human rights abuses, its support for terrorism, its weapons proliferation, its ballistic missile work and – prior to 2015 – its nuclear program.

An integrated bank card system will allow Russians and Iranians to use their credit, ATM and debit cards in both countries.

Tehran authorized Iranian financial institutions to issue credit cards for the first time in the nation’s history in September of this year.

Davood Mohammad Beigi, the director of the payment system department of the Central Bank of Iran, previewed the agreement to Iran’s Mehr News Agency.

“At present, Iran has the closest ties with Russia in the field of international credit cards and good measures have been taken in technical terms,” Beigi said.

Russia’s Sputnik news agency also carried the state-run report, noting that Iran was previously “unable to integrate its banking sector internationally due to the Western sanctions, imposed over its nuclear program.”

An agreement reached over Iran’s nuclear program reached in 2015 calls on international powers to integrate Iran back into the global financial system in exchange for Tehran’s adherence to limits on its nuclear work.

Join Jerusalem Post Premium Plus now for just $5 and upgrade your experience with an ads-free website and exclusive content. Click here>>

Related Content

LIBYAN GOVERNMENT forces take position during fighting in Ain Zara, in Tripoli, earlier this week
April 24, 2019
Behind the Lines: Generals vs Islamists in Libya