Official: LC opening in Europe

EghtesadOnline: Deputy Head of Iran's Chamber of Commerce, Industries, Mine and Agriculture Pedram Soltani said on Saturday that Iran is able to open Letter of Credit (LC) in Germany, Switzerland, Italy and Austria.

News ID: ۷۳۸۰۲۵

13 November 2016

Soltani said following implementation of the Joint Comprehensive Plan of Action (JCPOA) Iran's expenses in international trade have been reduced and now through a number of banks the country is able to open LC in Germany, Switzerland, Italy and Austria.
Regarding LC opening by the European banks, Soltani said the banks, which are cooperating with Iranian banks, are considered small banks.
During the imposed sanction era, Iran had to pay costly expenses between 3 to 8 percent for transferring money with other countries, but now the expenses have reduced to less than half percent, according to IRNA.
'We were deprived from opening LC in international exchanges, but by elimination of limitations, we are not forced to do our business paying in cash,' Soltani said.
He said the process to establish banking interactions is implemented gradually and added that one of Iran's problems in the process was that Iranian banks were known as high risk banks.
Following agreement between Iran and the Group 5+1 and implementation of the JCPOA in January 2016, international economic sanctions against Iran were removed.