NEW DELHI (Reuters) - India made a $550 million payment to Iran on Thursday to partly clear pending oil dues, under an interim deal that allows Tehran access to $4.2 billion in blocked funds globally, industry and government sources said.
Asian buyers such as Japan and South Korea have cleared some of their oil dues as per a payment schedule approved by world powers in a breakthrough deal with Iran in November.
Iran wanted the last three installments, totalling $1.65 billion, from India. New Delhi could not, however, remit the funds as the banking channel to make payment was not established.
A mechanism now in place allows Tehran to be rewarded for cooperating in talks with world powers over its nuclear programme, while meeting a U.S. insistence that the funds can be properly tracked, sources say.
(Reporting by Nidhi Verma; Editing by Douglas Busvine)
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app