“Academics Esfandyar Batmanghelidj and Axel Hellman have argued, for example, that during a previous Iranian SWIFT ban in 2012-16, several European banks were able to maintain their relationships with Iranian financial institutions by using “ad hoc messaging systems” and this could be revived. The two academics posit a rise in the use of so-called gateway banks — which have access to the ECB’s value payments system, Target2, and limited exposure to the US financial system — which would conduct euro transactions on behalf of buyers and sellers of Iranian oil. Instead of using SWIFT bank identifier codes to indicate account number, Batmanghelidj and Hellman point to the possibility of using IBAN numbers, a different international standard.”
With the international nuclear agreement with Iran in peril following the U.S. withdrawal from it, Esfandyar Batmanghelidj and Axel Hellman present a vision of a new banking architecture that could be at the heart of a European package to protect Europe-Iran economic ties and help sustain the deal in spite of U.S. sanctions.
Will President Trump torpedo the JCPOA or can European negotiators find a way through? Sir Simon Gass sets out a possible diplomatic sweet spot for the current US-Europe negotiations that might meet US concerns, yet keep Iran and the other parties to the deal on board.
The ELN has been committed to working to preserve the Iran nuclear deal through its analysis, advocacy and mobilising its senior pan-European network.