Russia and Iran have connected their financial message transmission systems, so now their banks can carry out transactions directly, Mohsen Karimi, Deputy head of the Central Bank of Iran for International Affairs, told the media
Will be interesting to see if they trust eachother enough with the system. SWIFT is a large robust and proven system. Something new to the market could be engineered to favor one of the parties, this will be a test of trust as well as technology.
Two countries that can’t use SWIFT establish a transaction system no one else uses, that isn’t SWIFT. Got it.
Somewhat relevant since they form 2 of the 10 BRICS countries and China is often pretty eager to jump onto non-US systems for obvious reasons.
Will be interesting to see if they trust eachother enough with the system. SWIFT is a large robust and proven system. Something new to the market could be engineered to favor one of the parties, this will be a test of trust as well as technology.
Two large economies under Western sanctions establish an alternative that serves as a basis for sanctions avoidance.