Page 14 - The Indian EYE 031822

OpINION MARCH 18, 2022 | The Indian Eye 14

iran–russia relations under raisi:

the eurasian dimension

In addition to the geopolitical convergences and challenges facing Iran and Russia in the Eurasia, strengthening

of Iran–Russia bilateral relations and its regional dimension is also facilitated by the inter-factional struggle for

power in Iran which has for now settled in favor of Iran’s conservatives

DEEPIKA SARASwAT

n 19 January 2022, Iran’s
President Ebrahim Raisi vis-
oited Moscow for a two-day
official visit. It was President Raisi’s
first bilateral and third foreign visit
after having visited Tajikistan in Sep-
tember 2021 for Shanghai Coopera-
tion Organization (SCO) summit and
Ashgabat in November 2021 to at-
tend the summit of Economic Coop-
eration Organization (ECO). During
his meeting with his Russian counter-
part, Vladimir Putin, Raisi presented
a draft of Iran–Russia 20-year Coop-
eration Agreement. According to the
account of the meeting posted on the
Iranian president’s website, bilateral
cooperation in infrastructure, ener-
gy, banking and trade were the main
focus of the interaction. Noting that On 19 January 2022, Iran’s President Ebrahim Raisi visited Moscow for a two-day official visit. It was President Raisi’s first bilateral and third for-
the “common understanding of the
two countries on regional and inter- eign visit after having visited Tajikistan in September 2021 for Shanghai Cooperation Organization (SCO) summit and Ashgabat in November 2021
national issues is at the basis of joint
cooperation”, Raisi argued that Iran– (EAEU) implemented in Octo-
Russia ties are on the path to become ber 2019 a three-year preferential
strategic relations. trade agreement which stipulated
As the implementation of Iran– that during this period, the two par-
China 25-year Comprehensive Stra- ties must accept the conditions for
tegic Partnership began on 14 Jan- achieving a full free trade plan for
uary 2022, Iran’s push for a similar tariff-free essential commodities.
long-term cooperation agreement Since 2019, more than 50 per cent of
with Moscow underscores how re- the total bilateral trade is being con-
lations with China and Russia are ducted through national currencies
being deepened under the rubric of as both countries seek to break dol-
the Look to the East policy. Raisi lar dominance in trade and finance.
administration, unlike the preced- Even though the Iranian financial
ing Rouhani administration, which institutions have been cut-off from
linked revival of Iran’s economy with Brussels-based Swift since Novem-
resolving the nuclear issue with the ber 2018, Iran’s trade ties with Rus-
West and integrating with interna- Moscow has finalized previously agreed uS$ 5 billion credit line for the completion of three sia and the member states of EAEU
tional economy, has envisaged Look power plant projects and finance the Rasht-Astara railway line and electrification between have remained unimpeded as Rus-
East policy based on strengthening sia’s alternative financial messaging
economic ties with Iran’s neighbors Garmsar in south-west of Tehran to Incheh-Borun on Iran–Turkmenistan border system called SPFS or the System
and key non-Western powers as the for Transfer of Financial Messages
long-term strategy serving Iran’s geo- counter Washington’s economic from being US$ 2 billion in 2019 to was introduced to the banks of the
economics and geopolitical interests. pressure and isolation of Iran and US$ 4 billion in 2021, with the value EAEU in October 2019. When Pres-
In recent years, from Tehran’s also to take advantage of the new of Iran’s exports to Russia passing ident Raisi in Moscow was calling
point of view, strengthening of eco- geoeconomics dynamics in Eurasia. US$ 1 billion for the first time. The for more ‘synergy against US unilat-
nomic ties with Russia has acquired The bilateral trade between Iran and impressive growth comes after Iran eralism’ from Tehran, the Secretary
renewed significance in order to Russia doubled in the last two years and the Eurasian Economic Union Continued at next page... >>

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