Iran Says Frozen Assets Released by Neighboring Country

Iran has reportedly been allowed to access around US$2 billion of its foreign assets that were frozen due to US sanctions, according to a report published in local media.

In a brief report on Tuesday, the semi-official Fars news agency quoted an informed source as saying that the funds had been released by an unidentified neighboring country.

The report came a day after a senior government official said Iran would take delivery of billions of dollars’ worth of hard currency resources held abroad in the coming weeks.

Mohammad Ghassemi, a deputy head of Iran’s Plan and Budget Organization (PBO), told state television that the funds are controlled by contractors responsible for selling Iranian oil to foreign customers.

Ghassemi said the PBO and Iran’s Supreme National Security Council have coordinated a robust plan to compel the contractors to return the proceeds from oil exports.

Tuesday’s Fars report may be referring to Iranian funds frozen in Iraq, a country that receives billions of dollars’ worth of Iranian natural gas each year.

Iraq has often fallen behind on payments for Iranian gas imports, with officials in Baghdad blaming US sanctions that restrict Iran’s access to international banking services for the delays.

However, Iraq has repaid large portions of its debt to Iran in recent years, allowing Tehran to continue gas exports to the Arab country.

Iran also has billions of dollars’ worth of frozen assets in Qatar, linked to previous oil exports to South Korea.

The reported release of Iran’s foreign assets comes as the country has faced a sharp rise in hard currency prices in recent weeks.

The increase has fueled inflation, leading to strikes and walkouts by businesses in the capital, Tehran, and other major cities. - Press TV