The US has mandated Iraq to release $500 million in Iranian blocked assets, the secretary-general of Iran-Iraq Joint Chamber of Commerce announced on Friday.
Turning to Iran’s blocked assets in neighboring Iraq, Hamid Hosseini said the Iraqi officials agreed to deposit Iran’s electricity and gas funds into a banking account belonging to the National Iranian Gas Company (NIGC) and Iran’s Power Generation, Transmission and Distribution Management Company (known as TAVANIR).
Iran’s blocked assets have been left in a bank under the strict supervision of the US and are only allowed to be used for importing goods and commodities that are not subject to sanctions, he said, adding that $1 billion worth of goods and commodities was handed over to Iran last year, so that Iran’s debt to Turkmenistan as a result of gas imports was paid through this procedure.
During a recent visit of Iraqi Foreign Minister Fuad Hussein to the US, Iraq was given permission to release the $500 million worth of Iranian assets blocked in the Iraqi banks.