Russia and Iran optimize interbank payments to increase transportation
Russia and Iran have officially signed an agreement to connect their interbank payment systems. Iran's Shahr Bank and Russia's VTB Bank will lead a project to connect 158 banks and facilitate payments, investments and other joint projects, including transport.
The two countries under sanctions have found new and very interesting markets for their joint efforts. Regardless of the effectiveness of Western sanctions, the Russian economy is currently galloping, overturning forecasts of a recession, experts say. Russia needed to find an alternative, and the corridor leading through Central Asia and Iran to India, known as the International North-South Transport Corridor (INSTC), was one of the first focuses of Russian attempts at diversification.
India, which does not recognize the sanctions imposed on the two states, also sees fruitful opportunities in connecting its supply chains with Iran and Russia.
International payments and their processing always cause a "headache" for logistics. Both Russia and Iran have simplified transactions, and the transition to mechanisms for transferring financial information protected from external pressure promises to facilitate all types of economic transactions between the two states.
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