Updated on
Summary
Indias central bank allowed companies from the South Asian nation to trade with Iran in currencies other than the dollar and euro, a move that may help the Middle Eastern country hit by United Nations sanctions.Companies will be allowed to settle current account and trade transactions with Iran outside the Asian Clearing Union or ACU, a regional payment settlements arrangement, the Indian central bank said in a notification. The change will make it flexible to an extent for Indian importers and exporters to step out of the ACUs settlement mechanism and deal in more currencies. The United Nations in June stepped up punitive measures against Iran over its nuclear ambitions, applying a fourth round of sanctions, and the U.S. and European Union later imposed additional restrictions. Iran says it is enriching uranium for peaceful purposes.
