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India set to pay part of oil debt to Iran

by Zamaneh Media
February 27, 2014
in Latest Articles
Reading Time: 1 min read
0
India set to pay part of oil debt to Iran

With the easing of international sanctions on Iran, India says it is now prepared to pay Iran $1.5 billion to clear part of its debt for oil shipments.

Indian Oil Secretary Vivek Rae announced on Tuesday February 26 that India is prepared to pay off a portion of its oil purchase debts to Iran.

Iran and the world powers reached an interim agreement in November 2013, amid ongoing nuclear negotiations, which allows Iran access to $4.2 billion in frozen oil revenues from a number of countries. The funds are to be paid in eight transfers. Japan made the first such payment on February 1, transferring $550 million.

India began increasing its oil imports from Iran last month. Iran’s oil revenues were cut by about 50 percent due to the international sanctions imposed by the U.S. on Iran’s crude imports and financial sector.

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