Iran wants South Korea to speed up the solution of the banking problems existing between the two countries, Abdolnaser Hemmati, Governor of the Central Bank of Iran, said in a meeting with Governor of the Bank of Korea Lee Ju-yeol, Trend reports referring to the website of the Central Bank of Iran.
According to Hemmati, issues such as the presence of banking problems on both sides, especially the lack of cooperation between the banks of the two countries, should be resolved soon.
He added that the lack of banking cooperation may have a negative impact on relations between the two countries.
The US imposed sanctions on Iran in November 2018. Sanctions have affected Iran’s trade with many countries, including South Korea. As such, South Korean banks have ceased banking cooperation with Iran in order not to become a target for US sanctions, which lead to a drop in the volume of trade turnover between Iran and South Korea.
According to the latest report by Iran’s Trade Promotion Organization, Iran exported $250 million worth of products to South Korea and imported $65 million worth of goods from South Korea during the first month (March 21 to April 20) of the current Iranian year (started March 21st, 2019).
While Iran's exports to South Korea increased by 24 percent, imports dropped by 55 percent. Iran's trade balance with South Korea is $185 million.
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