“The contacts between the central banks of Europe and the Central Bank of Iran (CBI) are still in place and the trajectory of negotiations with the European Union will provide a brighter situation for Iranian officials,” said Valiollah Seif, the Governor of the Central Bank of Iran on Sunday.

During the press conference in which Seif was briefing the media on the Central Bank’s actions, he said that US unilateral withdrawal from the JCPOA gave Iran the least costly way to deal with the nuclear agreement.

“Iran-Europe negotiations are now focused on Iran’s presence in the agreement after US withdrawal and the bilateral banking relations will also be discussed in these meetings and negotiations,” recounted the Iranian official.

“Trump’s presupposition was that upon leaving the JCPOA Iran would leave the agreement too, and then US would have the chance to put into practice what they intend,” said the Iranian official.

“To our opinion, the challenges and problems which Americans could pose on us were minimized after their leave from the agreement but it does not mean that everything is moving forward favorably,” he added.

“The Europeans are weighing the issue to minimize the damages caused by Americans’ unilateral withdrawal from the nuclear agreement and that is the top agenda in the current negotiations and a technical team from the central bank is also present in the talks,” he said.

US Treasury Secretary Steven Mnuchin claimed Seif covertly funneled millions of dollars on behalf of the IRGC through Al-Bilad bank “to enrich and support the violent and radical agenda of Hezbollah.”

The US Treasury also blacklisted Ali Tarzali, assistant director of the international department of Iran’s central bank, and the chairman of Al-Bilad Islamic Bank, Aras Habib.

The department said the sanctions against Seif and Tarzali would not immediately affect central bank transactions. It said, however, sanctions being reimposed under the nuclear deal would affect certain US dollar transactions by the central bank starting on Aug. 7, 2018.

Last week, two days after US President Donald Trump withdrew from the 2015 Iran nuclear deal, the US Treasury imposed sanctions against six individuals and three companies.

Speaking in his meeting with Martina Dalić, Deputy Prime Minister of Croatia and Minister of Economy, Small and Medium Entrepreneurship and Crafts, Seif pointed to the strong determination of governments of the two countries for promoting bilateral trade ties and said, “development of banking relationship is a prerequisite for expanding mutual economic and business relations and we have a responsibility to take effective steps in line with removing pertinent obstacles.”

CBI governor placed special emphasis on full readiness of Iran for evermore development of banking relationship within the framework of international regulations and added, “establishing banking relationship between central banks of the two countries, setting up brokerage relationship between chief banks of Croatia and Iranian banks, concluding a special account agreement between central banks of the two countries for the settlement of business transactions and launching representative offices and branches of Croatian banks in Iran are of the most important steps taken for strengthening banking relations between the two countries.”

Seif said, “undoubtedly, lack of proper banking relationships will cause loss of opportunities between the two countries, adding, “given the amicable and proper relationship between the two countries, suitable ways have been paved for broadening and enhancing banking relationship between Iran and Croatia.”

For her part, Martina Dalić, Deputy Prime Minister of Croatia and Minister of Economy, Small and Medium Entrepreneurship and Crafts pointed to the measures taken in this regard and added, “although there are some irregularities and disturbances in the ideal banking relationship, we can encourage and support banks of the two countries to start brokerage relationship.”

She said that Croatian government has expressed its readiness to promote banking and business relationship with the Islamic Republic of Iran eagerly.

Speaking reporters on the sidelines of Electronic Banking Conference, Valiollah Seif stressed that the exchange rate will certainly decrease over the coming days because the central bank reserves are very good and there is no worry about this.

In reply to a question by Mehr News Agency’s reporter, he added, “The oil price is increasing. The foreign exchange earnings are up now and in good situation. Therefore, there is no cause for worry about the currency market.”

He went on to say, “We do not advise people to invest in the foreign currency market. Experience has shown that investing in foreign currency has never been profitable. If one had invested in the banking system at the approved [authorized] rate, his earnings would have increased by 80% in five years, while the exchange rates have increased by only 50% since 2013. Therefore, investing in currency exchange market is not profitable at all.”