Eight More Countries Joining INSTEX

EghtesadOnline: Eight more countries have decided to join the financial mechanism for trade with Iran, in addition to states that have been part of the mechanism, said Nathalie Tocci, an aide to EU High Representative Federica Mogherini.

News ID: ۷۴۸۶۰۱

02 October 2019

"Apart from the three countries that initiated the creation of the mechanism - France, Germany and Great Britain - eight more EU member states have decided to join. Two more countries are expected to follow in their footsteps", Tocci said on the sidelines of the XVI annual Valdai Club meeting in Sochi, the Russian news outlet Sputnik reported.

She did not specify what countries she was talking about. Earlier, Sweden and Belgium were reported as the newcomers .

Earlier this month, a senior lawmaker said in Tehran that the EU had agreed to allocate $15 billion to the INSTEX trade mechanism, according to Financial Tribune.

INSTEX is a mechanism set up in January by France, Germany and the UK to continue trade with Iran and bypassing the US sanctions. After a meeting of the Joint Commission of the Iranian nuclear deal in June, it became operational and available to all EU members. However, Tehran has repeatedly complained that the mechanism is just in name and so far has done nothing to deliver or help Iran trade normally with Europe and the international community at large.

The US unilaterally quit the Iran nuclear deal, officially known as Joint Comprehensive Plan of Action (JCPOA), in 2018 and imposed tough economic sanctions on Iran.

The move was not supported by other signatories to the deal, and the EU announced that it would do everything possible to save the JCPOA.

A year after the US withdrawal from JCPOA, Tehran said it would begin partially suspending its commitments under the agreement unless Europe provides guarantees that Iran's interests are protected under the landmark international deal.