Iran to Implement Monetary Pacts with Afghanistan, Russia

Given that Iranian businesspersons have to exchange goods with the currencies of other countries in dollar and euro in the fields of import and export and face problems in the currency fluctuations, suitable ways have been provided for them to gradually expand their transactions using rials, Mohsen Karimi stated.

He pointed to the ‘offshore rial’ initiative which has recently been launched by the Central Bank of Iran and said it paves the way for domestic importers and exporters to do their business in rial instead of other currencies.

In most countries, exporters are duty bound to provide currency for their countries. For this reason, exporters in some countries including Iran are committed to returning the currency to the country which is called a 'currency pact', he said, adding, “As long as exporters carry out their export activities using rial, they will not face any problem in this respect.”

Afghanistan and Russia have signed bilateral monetary pacts with Iran, he said, expressing hope that the necessary platforms will be paved for importing and exporting goods with neighboring Iraq in rial as well.

Earlier, Karimi said that the offshore rial will become operational within the next few months to help economic activists of the country do their transactions with any country in the national currency.

The feasibility studies for the launch of this plan started six months ago and it is hoped that this comprehensive plan will become operational within the next few months, the deputy CBI added.