The German government is pleading with the country’s banks to return to Iran and do business.
The request came in a recent letter, seen by Handelsblatt, sent jointly to large German financial institutions by the federal economy and finance departments.
Most economic sanctions on the Islamic Republic were lifted last year in exchange for international monitoring of Iran’s nuclear industry. In theory, the deal agreed by Iran and major world powers should have been good news for German businesse, offering exporters a fresh new market with a foreign government ready to invest in infrastructure.
But even months after the lifting of most sanctions, there has been little movement on bilateral trade between Germany and Iran. One big problem, says the German government, is the attitude of German banks: Very few are yet willing to provide financing for export deals with Iran.