PARIS: Paris, London and Berlin welcomed six new European countries to the Instrument in Support of Trade Exchanges (INSTEX) barter mechanism, which is designed to circumvent US sanctions against trade with Iran by avoiding the use of the dollar.
The Paris-based INSTEX functions as a clearing house allowing Iran to continue to sell oil and import other products or services in exchange which has not yet enabled the use of any transactions.
Washington in 2018 unilaterally withdrew from the international agreement governing Iran’s nuclear program and reinstated heavy sanctions against Tehran.
Quoting France, Germany and Britain in the statement, AFP said the accession of the six new members “further strengthens INSTEX and demonstrates European efforts to facilitate legitimate trade between Europe and Iran”.
The trio added, this represents “a clear expression of our continuing commitment to the Joint Comprehensive Plan of Action” — the 2015 Iranian nuclear deal.
They insisted Iran must return to full compliance with its commitments under the deal “without delay”.
The 2015 deal set out the terms under which Iran would restrict its nuclear program to civilian use in exchange for the lifting of Western sanctions.