The European Union lifted all its economic and financial sanctions related to the Iran’s nuclear programme.
16 January 2016, Implementation Day, marked the start of the execution of the roadmap agreed in 2015 by Iran and world powers in the Joint Comprehensive Plan of Action (JCPOA).
The Plan outlines commitments to be taken by both parties, to ensure on one side the peaceful use of Iran’s nuclear developments and on the other the easing of certain sanctions.
Following the International Atomic Energy Agency (IAEA) verification that measures taken by Iran so far adhere to the JCPOA targets, the Council of the European Union set a precedent by authorising an unprecedented lift of EU economic and financial sanctions.
It is important to consider though that the bulk of US sanctions are still in place and transactions involving US dollars are still prohibited.
What sectors are affected and how?
Financial, banking and insurance: The prohibition of financial transfers is lifted, opening up opportunity to conduct banking activities, including the opening of branches, and the provision of services including SWIFT. Provision of insurance and re-insurance is now allowed.
Oil, gas and petrochemical: Import, purchase and transport of related products are now allowed. EU companies will be able to export equipment and technology, provide assistance, invest and create joint ventures.
Shipping, ship building and transport: Activities now allowed include: “sale, supply, transfer or export of naval equipment and technology for ship building, maintenance or refit”; participation in the design and construction of cargo vessels and oil tankers destined to Iran. Cargo flights originating from Iran will have access to EU airports.
Software: Sale, supply or export of Enterprise Resource Planning software, including updates, is no longer prohibited. However software with nuclear and military application is subject to an authorisation regime.
Gold, precious metals, banknotes: This includes the sales and purchase of precious metals including diam onds and the provision of related brokering/financing/ security services
Metals: An authorisation regime will regulate the sale, supply or export of certain graphite and raw metals.
By 2023, in conjunction with IAEA and UN Council monitoring that all nuclear material in Iran remains in peaceful activities, the EU will lift proliferation–related sanctions, including arms and missile technology sanctions.
Source: Information Note on EU sanctions to be lifted under the Joint Comprehensive Plan of Action (JCPOA), Brussels, 23 January 2016