Code: 641981 A

Iran and Russia have signed an agreement to promote their banking cooperation, a move both countries believe could help facilitate trade between them.

The agreement was signed between Hossein Yaqoubi, director general of CBI's International Affairs Department, and Deputy Governor at Central Bank of the Russian Federation Dmitry Skobelkin in Tehran on July 5.

It envisaged the establishment of mechanisms to ease the enhancement of trade between the two countries, including the establishment of a joint bank to facilitate payments following Washington’s decision to withdraw from the 2015 nuclear deal between Tehran and world powers, IRNA news agency reported.

Based on the agreement, the Central Bank of Russia would allow Iranian nationals to open bank accounts in Russian banks.

Projects like launching messaging apps for payment settlement, striking joint monetary agreements and using the two nations’ insurance capabilities as part of financial and banking cooperation are also among other terms of the document.

Recently, the head of Russia's Center for Contemporary Iran Studies, Rajab Safarov, called on Tehran and Moscow to set up a joint bank and facilitate trade transactions between the two countries.

"Banking problems are major obstacles in the way of Iran-Russia trade ties," Safarov told Trend on July 1.

Stressing that Tehran and Moscow should take the necessary measures to remove the obstacles as soon as possible, he said, "Iran and Russia should have at least one specialized bank".

This bank should be different from other banks in a way that it activities and services will not be suspended by sanctions, Safarov noted.

US President Donald Trump announced on May 8 that Washington was walking away from the nuclear agreement, officially known as the Joint Comprehensive Plan of Action (JCPOA), which was reached between Iran and the five permanent members of the UN Security Council - the United States, Britain, France, Russia and China - plus Germany.

Trump also said he would reinstate US nuclear sanctions on Iran and impose "the highest level" of economic bans on the Islamic Republic.

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