PARIS: Six European countries — Belgium, Denmark, Finland, the Netherlands, Norway and Sweden – have joined the Instrument in Support of Trade Exchanges (INSTEX) as shareholders to evade US sanctions against trade with Tehran by avoiding use of the American currency.
The move has been welcomed by France, Germany and the United Kingdom.
“As founding shareholders of the INSTEX, France, Germany and the United Kingdom warmly welcome the decision taken by the governments of Belgium, Denmark, Finland, the Netherlands, Norway and Sweden, to join INSTEX as shareholders,” they said in a joint statement.
The Paris-based mission is to facilitate non-USD transactions to avoid breaking US sanctions.
The INSTEX will conduct the barter trade for the six countries importing oil from Iran and exporting other commodities, products or services in exchange. The US had imposed trade restrictions on Iran in 2018 after withdrawing from the international agreement regarding the Iran’s nuclear enrichment program.
The induction of the countries in the INSTEX “further strengthens it and demonstrates European efforts to facilitate legitimate trade between Europe and Iran”, Paris, Berlin and London said.
The three powerful countries of the Europe said that Iran must comply with its allegiances under the deal which restricts Iran’s nuclear program to civilian use.
“We remain fully committed to pursuing our efforts towards a diplomatic resolution within the framework of the Joint Comprehensive Plan of Action,” they said.