THE IRAN NUCLEAR DEALSanctions. Impact. Opportunities.

Why have sanctions been put in place in the first place?

Why is there a crisis? The crisis began in the 2000s, when Iran's

uranium enrichment program revealed clandestine activity and drew World Powers’ attention over Iran’s capability to build a nuclear bomb.

IAEA (International Atomic Energy Agency) had launched an investigation

Early nuclear historyIran's interest in nuclear technology goes as far back as the 1950's

Concluded Iran's non-compliance with its NPT obligations, which lead the UN, EU and several individual countries to impose sanctions against Iran, targeting their capability to develop military nuclear activity.

When exactly are they lifted and which sanctions are still in place if any?

EU ends all its nuclear-related economic sanctions

including:: an embargo on buying Iranian crude oil, termination of restrictions on Iranian trade, shipping, and insurance.

all the blacklisted Iranian individuals or entities* can now do business with the EU. *who were banned because of their alleged

nuclear-related activities Still the sanctions referring to terrorism will

be excluded The US will no longer apply its brutal

economic sanctions, especially ones on the banking sector.

When it comes to entities accused of sponsoring terrorism, US also keeps its sanctions, and this would be the case of Iran's Revolutionary Guards or those allegedly linked to it.

UN Security Council resolutions that imposed sanctions on Iran's nuclear program will be annulled.

The sanctions referred most of all to:- Suppression of heavy

weaponry supply and nuclear-related technology to Iran

- Arms exports blockage- Asset freezes banking

transactions restriction - Bans on trading in precious

metals and crude oil exports

Now a landmark nuclear deal is being implemented between Iran and the P5+1 group

IRAN IS BACK IN THE BUSINESS

• 2013: Iran and P5+1 countries (US, UK, France, China and Russia plus Germany) started to engage in negotiations

• 2015 a final agreement for a nuclear deal framework was settled - The Joint Comprehensive Plan of Action

Is the Iranian banking system ready for it?

In order to develop a fertile place for foreign businesses and increase the chance that more monetary financial institutions will build subsidiaries in the country, and therefore, injecting more money in to the economy:CBI (Central Bank of Iran) introduced at the end of 2015 a series of measures to stimulate spendingIran's central bank package to stimulate the economy:

• Cheap loans for those that want to buy homes and Iranian- made cars;• Household credit of $3,000 with low interest ;• Infuse $2.5bn into mega projects;• Lowering the bank reserve requirements from 13% to 10%;• Slash the interbank lending rates from 29% to 26%.

is the biggest impediment in

absorbing all the future business and money transaction

Main issue: their relationships with international banking institutions have been cut off for more than ten years, and many companies will be very cautious about re-connecting with the Islamic Republic.

Banking System can lead to less

money coming in the country that they will want.

Forecasts for the Iranian currency

Lifting sanctions translates into: A revenue increase of $10bn per year from oil exports; Bringing back more than $30bn or foreign reserves that are currently frozen in

accounts around the world; According to the International Monetary Fund, Iran could boost its GDP to

around 5% by 2017, from almost zero currently; Lifting the sanctions that added 15% to the cost of trading with Iran, will save the

country nearly $15bn yearly.

Iran’s currency

lost of its value

againstthe US dollar

because of all the restrictions and

isolation from the international banking

system

40% inflation and the rise in prices for basic

needs like food and fuel

Easy International Money Transfers

Lifting the sanctions ~> allow Iranian banks to open offices in any of the European Union member states

money will be able to move easily from and to Iran

Diaspora who can now send money home a lot easier

lower transaction fees 4-5 million Iranians living abroad and a combined net worth

of $1.3 trillion, Iran can benefit greatly from this new flux of money, in two ways:

1 – Money is being infused in the country’s economy. 2 – The banking environment will be more attractive for

foreign banks.

Inflow of funds into Iran

Energy, Oil and Gas E.U. : member states will import and sell Iranian crude oil and gas. U.S.: will no longer ban Iran's crude oil sales and allow non-U.S. citizens who are

part of or engage in transactions with Iran's energy sector. Caviar, Pistachios and Carpets

The ban on these Iranian signature products to the U.S. is lifted. Transport and Shipping

E.U.: allow naval equipment and technology trade for ship building to Iran; also allow cargo flights from Iran to access the airports of member states.

U.S.: will no longer sanction non-U.S. citizens who are part of the shipping sector in Iran or have financial dealings with it.

Aircraft U.S : aircraft will be the only sector where allowed to do business in the Iranian

market, meaning U.S. companies will have no restrictions to sell commercial aircraft and parts to Iran.

Gold and Precious Metals E.U. : will allow trading of gold and other precious metals U.S.: will no longer sanction non-U.S. citizens who are involved in trading gold or

other precious metals with Iran.

Iran will immediately benefit of access to roughly $100Bn worth of assets frozen overseas Analysts estimate that roughly half of this amount will go to other obligations, as payments to foreign creditors.

Do you want more? For a more in-depth article about the

Iran’s current situation, be sure to visit us at: http://internationalmoneytransfers.org/iran/

We have prepared also a beautiful Infographic to make the stats…easier to digest

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