Fars: Russia prepares $1 billion loan for Iran — Anadolu Agency
Russia, an aggressor state, has completed preparations to provide Iran with a $1 billion loan, but the transfer of funds is being delayed. As Anadolu Agency reports, citing the semi-official Iranian agency Fars, the money is ready to be transferred once Tehran provides bank details.
According to Fars, the payment process has already been completed, but the transfer is being postponed due to disagreements among Iranian state bodies over how to use the loan.
Disputes over the use of funds
Iran's Planning and Budget Organization proposes allocating the money to car imports. The Oil Ministry wants to purchase equipment for the oil industry, while the Agriculture Ministry seeks to use the funds to import essential goods.
The Iranian government has not yet made a final decision on the purpose of the loan. Therefore, it has not provided the details needed to transfer the funds, Fars reported.
More current news is available on the UA.News Telegram channel Telegram.
Planned $20 billion loan
The loan was first reported in June. According to Fars, the $1 billion is the first tranche of a planned Russian loan to Iran totaling $20 billion. At the time, an Iranian parliamentarian said that Moscow was to provide Tehran with a loan in rubles at 6% per annum.
Iran and Russia are deepening economic and financial ties, including by seeking to use national currencies more extensively in bilateral trade. In June, Iran also announced plans to create a trading platform for the ruble to strengthen banking and currency cooperation with Russia.
Iran is under extensive US sanctions, which include restrictions on oil exports, the banking sector, and access to the international financial system. In September, the US Treasury Department imposed sanctions on Russia's VTB over what Washington said were correspondent banking relationships with sanctioned Iranian financial institutions.
