India urged to pay Iran oil dues in euro

Tehran, April 9, IRNA – Governor of Central Bank of Iran Valiollah Seif said that India’s Minister for Petroleum and Natural Gas Dharmendra Pradhan has said that India will pay its oil debts to Iran through 3 banks introduced by Iran soon and asked the Indian official to pay debts only in euro.

He made the remarks in a meeting with the Indian minister here on Saturday morning.

Considering good and historical relations between the two countries , Seif said that give the good intention of senior officials of Iran and India as well as appropriate situation provided by post-sanction era, the two sides are trying to promote and expand bilateral economic ties.

Establishment of banking relations between the two countries is a requisite for every kind of economic activities, Seif said, adding that duering pre-sanctions era, Iran and India had suitable banking ties and considering the present positive atmosphere the two countries intend to strengthen their ties.

He said that Indian banks may take responsibility for balance of accounts between the two countries and they may do this faster and offer banking services to Iran according to European banking standards.

Concerning establishment of bank branches of the two countries, Seif said that India is studying an Iranian request for opening branches of Iranian banks in India and Iran will reciprocate this move.

He sugested that the India government declare elimination of sanctions against Iranian banks officially to its banking network, because implementation of economic and trade projects need facilitation of banking relations.

Saif also talked about the need for using capacities of Asian Clearing Union (ACU) to balance accounts among countries of the region and added that the union can be a good help in balancing accounts not only between two states, but among all member states.

Pradhan, for his part, assured Iranian side that his country will pay all its debts to Iran.

He said that the two sides have already reached an agreement to do all payments in US dollars.

The Indian minister expressed his country’s desire to invest in Iranian projects such as gas development project in Chabahar Port and said that his country is interested in investing in the energy, petrochemical and aluminum sectors and working with Iranian private sector.