Iran-Pakistan considering payments in PKR

The US imposed sanctions on Iran and the absolute unavailability of banking channels to the country has made it very difficult to pay the country for the electricity/ gas being imported.

In this regard the two countries are now considering receiving payments in PKR instead of dollar. Pakistan plans to by Liquefied Petroleum Gas (LPG) from Iran and pay for it in Rupees. According to sources the Iranian side is seriously considering the proposal. This will be discussed in detail by both sides during the 21th Session of Pak-Iran Joint Economic Commission (JEC) is scheduled to be held on August 16-19 in Islamabad.

CPPA-G has noted that as on September 17, 2020, payment of about $100 million to Tavanir on account of import of electricity is pending due to non- availability of banking channels.

OGDCL has also expressed the desire to work as Joint Venture partner with NIOC for exploration of hydrocarbons within Iran and worldwide.

ODGCL would also like to join hands with National Iranian Oil Company in evaluation of the potential of unexpected areas, shale gas, tight gas reserves, and enhanced oil recovery projects in Pakistan. However, due to US sanctions, no cooperation could have been materialized so far.