Iran Opens Account at Spanish Bank to Receive Petrodollars

Iran has opened an account at a Spanish bank aiming to receive money from exporting petrochemical products to Europe, said Mehdi Sharifi Niknafs, Managing director of Iran’s Petrochemical Commerce Company.

For the first time after five years, Petrochemical Commerce Company’s account was activated at European banks, Shana news agency quoted Niknafs as saying on January 2.

He did not refer to any details about the Spanish bank, but said that the two sides have signed an Escrow Account Agreement despite all the international restrictions.

Based on the agreement, which has been endorsed by the Spanish central bank, Petrochemical Commerce Company will be able to receive money from exporting petrochemical products to different countries of the world, Niknafs explained.

Niknafs said earlier that with lifting of bank, insurance, and transport problems, exporting of petrochemicals will be facilitated and costs will reduce notably. 

Iran’s petrochemical sector has set an annual output target of around 129 million tons by the end of the country’s sixth five-year development plan (2021).

The country produced 44.5 million tons of petrochemicals in the past Iranian calendar year (ended on March 20, 2015), with over 10 percent rise from 40.5 million tons in its preceding year.