Iran, Russia eye $10b trade target

A Russian diplomat in Iran said Tehran and Moscow have agreed to increase trade to $10 billion.Maxim Baranov, the Russian consul-general in northern city of Rasht, said on Friday trade between the two neighboring states stands at $2 billion this year, AVA Diplomatic reports.

“Following a recent agreement between the (Iranian and Russian) presidents, this level will reach $10 billion,” Baranov as saying.

The diplomat added that Moscow is ready to import Iranian agricultural products, including aquatic and livestock products.

The comments follow the announcement of the plan of Iran and Russia to establish a joint bank to boost bilateral trade and bypass sanctions on the Islamic Republic’s banking sector.

“Since Russian banks fear the implications of working with Iran due to sanctions, we want to establish the joint Iran-Russia bank with the help of our central banks and private sectors,” Asadollah Asgaroladi, the head of Iran-Russia Joint Chamber of Commerce, said earlier this month.

“Such a bank would be able to exchange money between the two sides using rials and rubles, and put aside dollar, euro and pound,” he said.

Unilateral US-led sanctions imposed on Iran’s banking sector over Tehran’s civilian nuclear energy program and the recent Western bans against Russia over Ukraine have prompted the two countries’ trade officials to boost economic cooperation.

In September, Iran and Russia agreed to use their national currencies in bilateral trade.