France to Finance Exports to Iran, Aims to Sidestep U.S. Sanctions

February 1, 2018

Author: 

Matthieu Protard, Mathieu Rosemain

Publication: 

Reuters

Related Country: 

  • France
  • Italy
  • United States
France plans to offer euro-denominated export guarantees to Iranian buyers of French goods and services, beginning in May or June 2018, according to the head of state-owned investment bank Bpifrance. The financing vehicles will not have any U.S. link, whether to the U.S. dollar or to U.S. persons, in order to avoid the extraterritorial reach of U.S. sanctions. There are about 1.5 billion euros in potential contracts with Iran from French exporters, according to the head of Bpifrance. Italy also has agreed to a credit agreement with Iran in order to fund investments in Iran worth up to 5 billion euros.