IFP Exclusive

‘INSTEX Implemented Too Late, Can’t Secure Iran’s Interests’

An Iranian lawmaker says the INSTEX, the European financial mechanism aimed at keeping economic ties with Iran normal amid the US sanctions, does not meet Iran’s interests as it is being implemented too late.

Mohammad Ebrahim Rezaee, a member of the Iranian Parliament’s National Security and Foreign Policy Commission, says unfortunately the Instrument in Support of Trade Exchanges (INSTEX) has become operational too late after months of delays by the European sides.

“At present, the INSTEX can’t serve as a mechanism to bypass the US sanctions by the Europeans and the mechanism can’t meet Iran’s interests under the Iran nuclear deal,” he said in an interview with Tasnim.

He also called on the government not to pin all its hopes and goals on the Iran nuclear deal and added the INSTEX fails to provide Iran with an opportunity to access its oil revenues and facilitate the Europeans’ participation in projects inside Iran.

The lawmaker underlined that the Europeans can’t be trusted when it comes to the implementation of the INSTEX. “The mechanism doesn’t meet Iran’s interests in all areas and the Europeans have been seeking to kill time by making hollow promises.”

“The Europeans have not yet given a full guarantee to Iran on bypassing the US sanctions. Establishing a special financial mechanism between Iran and Europe is not hard at all but the main problem is that the US hampers efforts in this area,” he said.

Rezaee expressed doubt about the future of the INSTEX and said Iran’s diplomatic apparatus should receive enough guarantees from the Europeans before implementation of the financial mechanism.

“We should not pin our hopes on the Europeans.

They always make hollow promises and there is no will on their side to implement the financial mechanism,” he concluded.

Earlier, the European Union announced that its INSTEX mechanism to facilitate trade with Iran has become operational.

“France, Germany, and the UK informed participants that INSTEX had been made operational and available to all EU member states, and that the first transactions are being processed,” said an EU statement.

INSTEX is a payment system that will allow companies to trade with Iran despite harsh US sanctions. It is meant to function as a diplomatic shield allowing the exchange of goods without requiring direct transfers of money between Iran and EU companies.

IFP Editorial Staff

The IFP Editorial Staff is composed of dozens of skilled journalists, news-writers, and analysts whose works are edited and published by experienced editors specialized in Iran News. The editor of each IFP Service is responsible for the report published by the Iran Front Page (IFP) news website, and can be contacted through the ways mentioned in the "IFP Editorial Staff" section.

Recent Posts

Unscheduled visit by Qatari prime minister to Tehran sparks speculation

Reports emerged by Iranian daily Donya-e Eqtesad suggest that the Qatari Prime Minister and Minister…

16 hours ago

ICC issues arrest warrant for Netanyahu, Gallant for ‘war crimes’ in Gaza

The International Criminal Court (ICC) has issued arrest warrants for Israeli Prime Minister Benjamin Netanyahu,…

16 hours ago

Iran to respond to Europe’s “non-technical” move: Foreign Minister

As France, Germany, and the United Kingdom submit an anti-Iran draft resolution to the International…

17 hours ago

President Pezeshkian criticizes western hypocrisy on human rights

During his visit to Sistan and Baluchestan province, Iranian President Masoud Pezeshkian delivered sharp criticism…

17 hours ago

Nearly 90 killed in Israeli attacks on Gaza

Israel has unleashed a series of air attacks on the Gaza Strip that killed nearly…

18 hours ago

Anti-Iran human rights resolution at UNGA politically-motivated: Spokesman

Foreign Ministry Spokesman Esmaeil Baghaei has censured as politically-motivated and unjustified the adoption of a…

18 hours ago