Feb 1, 2022, 10:36 AM
News ID: 84633987
1 Persons


Russia-Iran economic ties on track of progress

Feb 1, 2022, 10:36 AM
News ID: 84633987
Russia-Iran economic ties on track of progress

Moscow, IRNA - Iran's President Ebrahim Raisi's visit to Russia and the emphasis made by the Iranian chief executive and his Russian counterpart Vladimir Putin to remove obstacles in the path of bilateral trade exchanges enhanced outlook for increasing economic ties between the two countries.

Russian and Iranian authorities are of the opinion that despite the fact that there are abundant capacities to upgrade economic ties, there are still many programming and infrastructural problems, which should be resolved.

Moscow and Tehran have strengthened political, defense and security cooperation in recent years in spite of historical ups and downs, so observers described the modern relationship between the two nations as unprecedented, but economic collaborations do not meet expectations.

During Iranian delegation's visit to Moscow, President Raisi and Iranian Finance and Economic Affairs Minister Ehsan Khandouzi held two separate meetings with Russian tradesmen to discuss ways to remove obstacles.

Khandouzi said in Moscow that the Iranian side had already determined an agenda for joint investment, banking cooperation, and currency transactions between banks in both countries, which were discussed during bilateral negotiations.

President Raisi's visit to Russia and good programs organized by his Russian counterpart can pave the ground for development of mutual economic exchanges, the minister stated.

In a meeting between President Raisi and 60 prominent Russian economic figures, both sides underlined the need for removing logistic, banking and transit, visa-related obstacles.

Vladimir Sazhin, Senior Fellow at the Institute of Oriental Studies of the Russian Academy of Sciences, emphasized in an article published in Life International magazine that President Raisi's visit to Russia would lead to preparing fundamental efforts to develop economic ties and that the tour will also open outlooks for cooperation in different arenas.

He also said that Russia's trade exchanges with Iran is the cornerstone of Russian foreign policy in West Asia, noting that the financial transactions between the two nations fluctuated between $1.7b to $2.2b, adding that the volume reached $3.3b in 2021.

Iran's Ambassador to Moscow Kazem Jalali said that Iranian export to Russia had a 105-percent growth in 2020, noting that Russians' import from Iran reached from $390 million to $800 million in the same year.

Head of the Russian Embassy's Trade Representation in Iran Rustam Ziganshin announced that trade volume between the two countries hit a record high in 2021, reaching nearly four billion dollars. According to estimations, trade exchanges between Russia and Iran are expected to reach 10 billion dollars in the future, he noted.

Chairman of Russia's Center for Contemporary Iranian Studies Rajab Safarov said that the main obstacle in the way of trade ties between the two countries is infrastructural problems concerning transit of goods, which should be programmed to be removed by officials of both sides.

Lack of data on economic capabilities and opportunities in Russia and Iran is another problem, which needs more information dissemination from both countries, Safarov added.

Vladimir Obidenov, the chairman of the Russia-Iran Business Council at the Russian Chamber of Commerce and Industry, expressed hope that development of International North-South Transport Corridor can boost bilateral economic ties and form a better cooperation between Iran and the Eurasian Economic Union (EAEU).

Iran's full membership in the EAEU provides member states with the opportunity to increase economic and trade exchanges because this cooperation helps remove transportation and customs problems.

The concept of International North-South Transport Corridor was formalized by India, Iran, and Russia in 2000, but the project has not been completed so far. The US-led trade sanctions on Russia and Iran in recent years have caused an impetus in the way of implementing the project.


Follow us on Twitter @IrnaEnglish

Your Comment

You are replying to: .