UAE banks stop transfers to Iran
Published Date: September 06, 2010 

DUBAI: Most banks in the United Arab Emirates, an important trading partner for 
Iran, have stopped money transfers there after the latest round of sanctions on 
the Islamic republic, bankers said yesterday. A Dubai-based Iranian businessman 
said that the latest sanctions have halved trade with Dubai, an important 
re-export centre for Iranian goods. "We stopped transfers to Iran in all 
currencies in July," an executive from an international bank, who spoke on 
condition of anonymity said.

The UN Security Council imposed a fourth round of sanctions on June 9 over 
Iran's controversial program of uranium enrichment, which many Western states 
believe may be a covert bid to make a nuclear bomb, a charge Tehran denies. The 
United States and European Union have since unilaterally imposed even tougher 
punitive measures, which contain provisions to penalize Tehran's trading 

A banker with an Emirati bank said that transfers to Iran in dollars and euros 
are now forbidden, and have become "very difficult, if not impossible, in 
dirhams," the UAE's currency. "Transactions by Iranian clients are closely 
monitored," the banker said, adding that certain activities by Iranian clients, 
such as transfers to Asia to purchase goods, are sometimes blocked. "We used to 
deal with some banks in Tehran, but now it is almost impossible," the banker 

Bank accounts of some Iranian clients have been closed recently, he added. "The 
volume of trade between Dubai and Iran has been reduced by 50 percent compared 
to before the latest round of sanctions, mainly due to bank restrictions," said 
Morteza Masoumzadeh, vice president of the Iranian Business Council in Dubai.

There are more restrictions, and things are getting more complicated" because 
of the latest sanctions, he said. For example, businessmen can no longer "open 
a letter of credit to overseas suppliers if the port of discharge is an Iranian 
port," he said. UAE officials said last month that the country was implementing 
sanctions against Iran. It reportedly began taking steps to implement the 
latest UN sanctions against the Islamic republic in June.

The UAE central bank ordered the freezing of 41 bank accounts because of the 
sanctions on Iran, according to the Emirates Business 24/7 website. Dubai, the 
UAE's business and aviation transport hub, has also closed down the offices of 
40 firms suspected of breaching the sanctions, the Gulf News daily reported. 
Iran is a significant UAE trading partner, with trade volume between it and 
Dubai alone estimated at about 10 billion dollars (7.7 billion euros) a year, 
mostly imports to the emirate. There are about 400,000 Iranians living in the 

[Non-text portions of this message have been removed]

Kirim email ke