Iran expects banking issues with Russia to be resolved this year
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Moscow and Tehran have been deepening their financial cooperation since May 2022, when they agreed to shift to national currency transactions.
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A Russian Mir card is inserted in an ATM machine. (Press TV)
Iranian Ambassador to Russia Kazem Jalali expressed confidence on Tuesday that most financial settlement issues between Tehran and Moscow will be resolved in 2025, citing progress in banking agreements between the two nations.
"I expect that in 2025, the majority of our mutual settlement problems will be resolved through our agreements," Jalali stated during a briefing.
Over the past year, Iran and Russia completed the first phase of integrating their banking systems, linking Russia's Mir payment network with Iran's Shetab system.
The two countries will continue expanding this collaboration in 2025, the ambassador confirmed. He also highlighted that both central banks have signed agreements, including those aimed at banking data exchange.
"Iran and Russia do not rely on SWIFT for banking transactions. We have developed our own secure systems for transmitting financial messages," he added.
Strategic Partnership
This financial collaboration is part of a broader Comprehensive Strategic Partnership Treaty, a 20-year agreement signed in January 2025 between Russian President Vladimir Putin and Iranian President Masoud Pezeshkian. The treaty covers multiple sectors, including trade, defense, education, and cultural exchanges, and aims to strengthen economic resilience amid Western sanctions.
As part of these efforts, Russia's state-owned VTB Bank plans to upgrade its representative office in Iran into a full-fledged branch by the end of 2025, facilitating trade settlements in national currencies and offering international trade services. According to Iranian and Russian officials, more than 95% of bilateral trade in 2024 was conducted in rubles and rials, reducing dependence on the US dollar and mitigating the impact of Western financial restrictions.
Read more: Iran-Russia alliance shows defiance of external pressure: Pezeshkian
Moscow and Tehran have been deepening their financial cooperation since May 2022, when they agreed to shift to national currency transactions.
In January 2023, they signed an agreement to streamline financial operations between their central banks, culminating in the July 2024 integration of the Mir and Shetab payment systems. By November 2024, this connection was fully operational, allowing Iranians to withdraw rubles from Russian ATMs.
Beyond banking, Iran and Russia are also collaborating on the International North-South Transport Corridor (INSTC), a trade route designed to connect Russia to India via Iran and Azerbaijan. This corridor, including the Rasht-Astara railway project, is expected to enhance logistics and trade flows while reducing reliance on Western-controlled maritime routes.
