The president expressed special thanks to the CBI governor and authorities who have been struggling in the face of the inhumane sanctions imposed by the United States against and Iran that prevented the country from purchasing coronavirus vaccine.

He underlined that such relentless efforts should not be ignored and no one should distort the facts of the country’s history in the face of the economic war.

Rouhani noted that the government is doing its best to lift the sanctions and will not miss a single moment.

“It is difficult to move in this direction and it has its own challenges,” he said but assured that the situation will be way better in the next fiscal year, which starts on March 21.

The president concluded by urging people and authorities to follow the instructions of the Leader of the Islamic Revolution Ayatollah Seyyed Ali Khamenei and join hands to overcome the existing problems.

Preliminary estimates by the Central Bank of Iran (CBI) show Iran’s gross domestic product in the first nine months of the current Iranian year (started March 20, 2020), using constant prices of the year ending March 2012, stood at 4,806 trillion rials ($19.37 billion) compared with 4,704 trillion rials ($18.96 billion) of the corresponding period of last year, registering a 2.2% year-on-year growth.

Economic growth, excluding oil, expanded by 1.9% to reach 4,190 trillion rials ($16.89 billion) during the period under review, according to CBI.

The central bank’s sectoral breakdown of growth rates shows that “agriculture”, “oil” and “industries and mining” groups experienced a respective growth rate of 4.6%, 3.9%, and 6%.

The services sector was the main laggard with a 0.3% contraction.

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IRAN NEWS ECONOMIC DESK

TEHRAN – Governor of the Central Bank of Iran Abdolnaser Hemmati says the economic growth rate in Iran has become positive, both with and without oil revenues.

In a post on his Instagram page on Sunday, the top banker said Iran has achieved a positive economic growth.

The great Iranian nation’s fortitude under the pressure of economic war and outbreak of the coronavirus pandemic and the efforts of the Iranian economic activists finally yielded results, Hemmati said.

“As I had already announced according to the course of indices of industrial and agricultural production as well as the growth in the credit of working capital of banks, the country’s economic growth has become positive,” the CBI governor announced.

A recent report from the CBI’s economic calculation department shows that the gross domestic product (GDP) growth rate during the first six months of the current Iranian year (March 20 – September 21) has been positive with and without petrodollars, he stated.

Iran’s economic growth excluding the oil income in the first half of the current Iranian year has increased by +1.4 percent compared to the corresponding period last year, while the economic growth with oil has risen by +1.3 percent compared with the 6-month period a year earlier, he noted.

The CBI chief finally noted that the economic growth with the inclusion of oil has stood at -2.9 percent and +5.1 percent in the last spring and summer, respectively, while the growth rate without oil income has reached -0.6 percent in the first quarter and +3.2 percent in the second quarter of this year.

Meanwhile Iran’s Trade Promotion Organization (TPO) is organizing an online 3-day Iran-Europe business forum in collaboration with the European Union (EU) which is to open today (December 14).

During this three-day event more than 60 Iranian and European officials will deliver speeches and companies from the two sides will hold online B2B meetings.

This investment conference will be run by the UN’s International Trade Center – an agency jointly managed by the United Nations and the World Trade Organization – and the TPO.

The main purpose of this event is to create a suitable environment for companies on both sides to engage in trade-economic interactions.

The Europe-Iran Business Forum, which is funded by the European Union, will be the first of its kind in two years, according to a statement by the organizers.

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IRAN NEWS ECONOMIC DESK

TEHRAN – Director of Legal Studies Department of Iran’s Central Bank yesterday reacted to a Bahraini court’s verdict on Iranian banks and called it something lacking legal validity and it is just a political move.

Bahraini court on Wednesday issued legal verdicts in five money-laundering cases, convicting the Central Bank of Iran, along with a number of Iranian banks, the Future Bank, and five of its officials.

The court found all the defendants guilty, sentencing the Future Bank officials to five years in prison, and to 1 million Bahraini dinars (SR10 million approximately) fines each.

The court also sentenced the Central Bank of Iran and the other banks implicated in the wide money-laundering scheme to fines of 1 million Bahraini dinars each.

The total of fines imposed on the Iran Central Bank and the other implicated banks reached 37 million Bahraini dinars. The court also ordered the confiscation of the illegally transferred money that reached $112 million.

But on Saturday, Director of the Legal Studies Department of Iran Central Bank, reacting to the report, said that so far Bahrain government has not communicated anything on Iranian banks and the CBI, adding that in case the court had issued the verdict, it would be legally invalid because the court has not given the defendant chance to defend.

Morteza Etebari said that such a verdict is a political move and it is natural that Iran will not refrain from any effort to defend its rights and Bahrain government is responsible for the consequences.

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IRAN NEWS ECONOMIC DESK

TEHRAN – Governor of Central Bank of Iran (CBI) called bartering one of the classic methods for countering U.S. unilateral sanctions.

: In a joint meeting with Minister of Industry, Mine and Trade, Minister of Oil and Minister of Agriculture Jihad, Abdul Nasser Hemmati said: “In the current situation that the U.S. has considered a variety of decisions to prevent Iran from monetary and banking exchanges, bartering oil for commodities can counter Washington’s sanctions.”

The Governor of the Central Bank of Iran added that bartering is one of the ways to develop countries’ foreign trade.

Hemmati went on to say: “Considering the history of bartering in Iran, the existing program will be implemented in a wider dimension and in two stages, the first stage of which will include the supply of basic commodities, and the second stage will include essential goods and raw materials needed by production units.”

Earlier on Wednesday, he also called on the International Monetary Fund (IMF) to grant Iran the emergency loans it needs to fight the coronavirus outbreak in the country.

The CBI governor made the remarks while addressing the governors of the central banks of the member-states of the Middle East and Northern Africa (MENA) via video conference.

“It is expected from the IMF to quickly and without any discrimination and without being influenced by political lobbying or pressures from other countries, including the U.S.,” Hemmati said while referring to Iran’s request for receiving emergency loans from the IMF.

He emphasized that the COVID-19 disease has harmed many countries and Iran has suffered more than many countries, and said, “Despite the severe sanctions of the US and the difficult situation that the country is facing, Iran has managed to contain this issue and make progress with its economic policies.”

Hemmati said the present situation has made many world countries face budget and liquidity problems and Iran is not an exception.

“Iran managed to take suitable measures by relying on its legal sources, but the problem is that the illegal U.S. sanctions have deprived Iran of gaining access to its resources in the absence of any acceptable logic,” he added.

Hemmati had earlier said that Iran had requested a $5 billion loan from the International Monetary Fund in the corona campaign package of Rapid Financial Instrument.

In the meantime, an IMF spokesman told IRNA on the condition of anonymity that “We have had discussions with the Iranian authorities to better understand their request for emergency financing from the Fund.”

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IRAN NEWS ECONOMIC DESK

TEHRAN – Iraq has agreed to release Iranian funds blocked in the Arab country because of American sanctions for Iran’s purchase of staples and basic goods, the Central Bank of Iran (CBI) governor Abdolnasser Hemmati said after meetings with senior Iraqi officials in Baghdad on Monday.

Hemmati said in a post on his Instagram page that some “good agreements” had been reached on the issue in a trilateral meeting involving him and his Iraqi counterpart as well as the CEO of Trade Bank of Iraq (TBI) where the Iranian funds are blocked.

Iran has billions of dollars in a TBI account which processes Iraq’s payments for imports of natural gas and electricity from Iran.

However, the funds have been blocked because of U.S. sanctions on Iran which restricts the use of dollar for transactions involving Tehran.

The assets held in Iraq belong to the Central Bank of Iran, which is the main supplier of the basic demands in various sectors such as industry, agriculture and healthcare, he explained, saying Tehran would begin to withdraw money from those funds according to its needs.

The commodities that are categorized as basic needs are exempted from the cruel and unilateral sanctions imposed by the U.S., the Iranian official noted.

Hemmati said Iraqi Prime Minister Mustafa Al-Kadhimi had welcomed the agreement to use the funds to reimburse Iran’s basic goods imports.

“In the meeting with the Iraqi premier … he issued the required orders to the Iraqi central bank and the TBI to speed up the implementation of the agreement,” said Hemmati, adding that Kadhimi had vowed to personally follow up the case on a weekly basis.

Hemmati made a first visit to Baghdad in June to pursue the case of blocked funds in Iraq. The CBI governor had expressed optimistic remarks about the release of funds in Iraq on that occasion but a final decision on the issue has been waiting reportedly because of growing American pressure on Baghdad.

A high-ranking trade and banking delegation accompanied Hemmati in his Monday trip to Iraq. The top banker said the visit would bolster the already growing trade relations between the two countries.

Iraq is only second to China in purchase of goods and services from Iran with recent figures showing Iranian exports to the Arab country reached $565 million in value terms in the Persian calendar month to September 21.

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According To Iran News, Secretary of Iran’s Supreme National Security Council Ali Shamkhani said the US’ attempt to block Tehran’s request for an emergency International Monetary Fund loan for the battle with the coronavirus breaches a peremptory norm of international law on right to health.

In a post on his Twitter account on Saturday, Shamkhani said Washington’s opposition to Iran’s request for the IMF loan is in breach of the peremptory norms of international law (jus cogens) on right to health.

“Third governments have two commitments; to halt cooperation with the violating state and to act for lifting the illegal situation,” he added.

Shamkhani also deplored Europe for its usual “expression of regret” about such a violation of law by the US.

Iran has asked the International Monetary Fund for a $5 billion loan to deal with the outbreak of COVID-19.

Governor of the Central Bank of Iran Abdolnaser Hemmati says the IMF’s response will be a litmus test for claims about relief aid for containing the disease.

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IRAN NEWS NATIONAL DESK

TEHRAN – The Central Bank of Iran has asked the International Monetary Fund (IMF) for $5 billion emergency funding to fight a coronavirus pandemic as the number of infections keeps growing in the country.

In an Instagram post on Thursday, Abdulnaser Hemmati, governor of the Central Bank, said he had written to the IMF’s head, Kristalina Georgieva, last week to stress Iran’s “right to benefit from the fund’s $50-billion Rapid Financing Instrument (RFI).”

In the letter, the official highlighted the “widespread prevalence” of the virus — called COVID-19 — inside Iran and the need for the country to take measures to prevent further spread, treat the patients and counteract the economic aftermath of the disease.

“Given the size of the Islamic Republic of Iran’s quota in the fund, it calls for the use of the RFI fast financing facility of around $5 billion,” he added.

In a tweet on Thursday, Iran’s Foreign Minister Mohammad Javad Zarif also called on the IMF to extend support to Iran, who is a member state of the Washington-based lender.

Zarif said the IMF managing director “has stated that countries affected by #COVID19 will be supported via Rapid Financial Instrument. Our Central Bank requested access to this facility immediately.”

IMF’s @KGeorgieva has stated that countries affected by #COVID19 will be supported via Rapid Financial Instrument. Our Central Bank requested access to this facility immediately.

The “IMF/IMF Board should adhere to fund’s mandate, stand on right side of history and act responsibly,” he said.

The outbreak — declared as a pandemic by the World Health Organization — first emerged in China and is now spreading fast in other parts of the world.

In a letter to United Nations Secretary-General Antonio Guterres, Zarif repeated Iran’s demand for U.S. sanctions to be lifted, Iranian media reported.

U.S. officials have said that the sanctions do not target medicine for Iran and U.S. Secretary of State Mike Pompeo said on February 29 that the U.S. had offered to help Tehran face the outbreak. Iran’s foreign ministry spokesman reportedly said that any U.S. offer to help Iran in its fight against the coronavirus was “ridiculous”.

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IRAN NEWS ECONOMIC DESK

According To Iran News,Governor of Central Bank of Iran (CBI) Abdolnaser Hemmati said on Wednesday that accession to Financial Action Task Force (FATF) will serve the banking system.

Hemmati made the remarks on the sidelines of the cabinet meeting

Asked what if the U.S. targeted Iran with more pressures after joining FATF, Hemmati replied that Tehran’s presence in the inter-governmental body will create no obstacle but bring clearer and easier banking transactions.

There is no reason for being worried about as Iran itself follows money laundering rules, the CBI governor said.

Financial Action Task Force (FATF) introduces itself as an inter-governmental body established in 1989 by the Ministers of its Member jurisdictions. The objectives of the FATF are to set standards and promote effective implementation of legal, regulatory and operational measures for combating money laundering, terrorist financing and other related threats to the integrity of the international financial system. The FATF is therefore a “policy-making body” which works to generate the necessary political will to bring about national legislative and regulatory reforms in these areas.

About Russia and China which have advised Iran to join FATF, Hemmati said it is normal that Tehran will face problems in cooperation with Beijing and Moscow if not joining the body, because they have observations that make them follow the regulations.

Not joining the FATF will have negative impact on Iran’s banking transactions, Hemmati noted.

Elsewhere, Hemmati talked of the Paris-based transactions channel, named INSTEX- Instrument In Support Of Trade Exchanges, saying that as long as the Europeans do not buy Iran’s oil and the income not be settled in the channel, their statements remain in words without action.

“Iran has taken all necessary measures based on regulations and procedure.”

Referring to the idea of a single unified cryptocurrency for Muslim countries, he said the Islamic Republic had the necessary platform to use Muslim cryptocurrency.

Hemmati emphasized that four Islamic countries of Iran, Turkey, Malaysia and Qatar will soon implement a proposal made by the Iranian president in the Muslim leaders’ summit in Kuala Lumpur, Malaysia.

He also praised the proposal for a single unified cryptocurrency for Muslim countries, saying the four countries want to avoid using the U.S. dollar in their trade and business transactions, and that Iran is ready to implement the proposal.

Hemmati also said the Central Banks of the four countries (Iran, Turkey, Qatar, and Malaysia) are closely involved in the scheme, and that if it is a success, the US dollar will be eliminated from trade between the four Muslim countries, and other Islamic nations may well join the scheme later on.

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