Iran, Iraq central bank chiefs agree to ease banking barriers

The governors of the central banks of Iran and Iraq have agreed to work on removing barriers to banking relations between the two countries. The agreement was reached during a meeting between Abdolnaser Hemmati, the Governor of the Central Bank of Iran (CBI), and his Iraqi counterpart, Ali Mohsen Ismail Al-Alaq, according to Mehr News Agency.

Hemmati stressed the need to accelerate mechanisms that would allow Iran to use its funds held in Iraqi banks. He also called for easier banking procedures for Iranian traders and exporters, particularly for transferring funds. The two central bank chiefs agreed to continue consultations to achieve practical solutions for managing and accessing Iran's foreign-exchange resources.

In a separate meeting with the Iraqi finance minister, Hemmati presented technical proposals aimed at speeding up the settlement of Iran's financial claims. The two sides also discussed expanding economic cooperation and using Iranian contractors' technical capabilities in Iraqi development projects.

The Iraqi finance minister welcomed closer economic ties, saying that Iran and Iraq should make better use of their natural resources and skilled workforce to expand technical, engineering, and financial cooperation.

Hemmati also invited his Iraqi counterpart to visit Tehran to finalize banking agreements. The visit is expected to take place in the near future, although no specific date was announced.

According to Mehr News Agency, the discussions are part of broader efforts to strengthen economic relations between the two neighboring countries, which have faced challenges due to international sanctions and banking restrictions.