Русский
Russia’s VTB has secured the principal approval of the Central Bank of Iran to open a branch in the country and will offer customers international settlements in national currencies as part of its servicing foreign commerce, according to Olga Basha, a VTB board member. She was speaking at the Eastern Economic Forum currently taking place in Vladivostok.
Basha said that “It should be noted that settlements in national currencies—Russian ruble and Iranian rial—are already available in VTB’s infrastructure. As for a branch, VTB has received the principal approval of the Central Bank of Iran. This is the first foreign bank that has opened in Iran for a long time. The opening of a branch is a fairly lengthy process. We’ve gone through the initial stages and are continuing to move forward. We’re establishing all contacts, building the right chain of interactions, studying all legislative nuances, and holding a dialogue with the regulator on issues of infrastructure, IT, and so on, so the process takes time.”
The branch is expected to open in Tehran in late 2025 or early 2026.
VTB plans to conduct international settlements in national currencies through the branch as part of its servicing of foreign commerce. Basha added, “Our bilateral trade turnover is growing; settlements will go through us via a direct channel. Currently, international settlements with Iran go through payment agents, which makes the process more expensive. When settlements go through the branch, trade participants’ costs will decrease. As for other services, we will also provide letters of credit, a standard VTB branch activity.”
VTB also said that it planned to offer bank products and settlement mechanisms needed on the Iranian market.
Russia’s trade with Iran has boomed, especially since Iran signed a Free Trade Agreement with the Eurasian Economic Union. Bilateral trade increased by 11.4% in the first half of 2025, indicating an expected trade volume of about US$5.5 billion for 2025. The two governments have set a bilateral trade target of US$10 billion to be achieved by 2030.
Further Reading
Russia, Iran INSTC Trade Volumes Could Reach 15 Million Tonnes By 2028/29
