Iran and Russia Link Banking Systems to Bypass Sanctions

Iran and Russia have connected their banking systems, allowing Iranian bank cards to be used in Russia. This new arrangement bypasses sanctions that have targeted Iran’s financial system, particularly its exclusion from the SWIFT network since 2018. State television reported that Iranians can now withdraw money from ATMs in Russia, and future plans include enabling in-store payments with Iranian cards.

This step is part of a broader strategy by both countries to mitigate the impact of sanctions. Russia has faced increasing sanctions since its 2022 invasion of Ukraine, while Iran’s economy has been strained by sanctions following the U.S. exit from the 2015 nuclear deal. The two countries’ financial cooperation has deepened, and both have been working to develop alternatives to SWIFT. The plan could expand to other countries with strong ties to Iran, such as Iraq, Afghanistan, and Turkey, with Russia also hoping to allow its citizens to use bank cards in Iran in the future.
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PRESS UPDATE