Iran and Armenia have signed a memorandum of understanding (MoU) for trade cooperation through barter of goods and services between the two countries.

According to The Iran Project, Mohammad Ali Dehghan Dehnavi, head of the Trade Promotion Organization of Iran (TPO) signed the document during a visit to Yerevan on Tuesday.

The barter mechanism is seen as a strategic solution to navigate the challenges posed by Western sanctions. The agreement aims to facilitate trade processes between the two nations, allowing them to bypass restrictions.

Iran’s trade attaché in Armenia, Sepideh Akbarpour Tajrishi, said both parties will introduce companies to act as operators within three months.

These companies will then compile lists of goods eligible for barter and work to implement the agreement, she added.

Tajrishi said that the TPO will be responsible for selecting the operator companies and overseeing the execution of the deal.