Iran to suspend cooperation with IAEA after European move on UN sanctions

Iran to suspend cooperation with IAEA after European move on UN sanctions

Iran has announced plans to suspend its cooperation with the International Atomic Energy Agency (IAEA) following the European Union's (EU) move to reimpose international sanctions. The decision comes after the EU, consisting of Britain, France, and Germany, initiated a 30-day process to reimpose UN sanctions on Iran at the end of August.

According to Iranian Deputy Foreign Minister Saeed Khatibzadeh, the EU's actions are politically motivated and biased. He criticized the EU for trying to "abuse the mechanism contained in the Joint Comprehensive Action Plan (JCPOA)" . The EU has set conditions for Iran to meet by September, including restoring access to UN nuclear inspectors, to prevent the reimposition of sanctions.

Iranian Foreign Minister Abbas Araghchi submitted a "reasonable and follow-up plan" to the EU, but the EU has been unable to reach a consensus. The UN Security Council is set to vote on a resolution to permanently lift UN sanctions against Iran on Friday. However, the resolution is expected to fail due to the lack of support from the United States, Britain, and France, who are likely to veto it .

In response to the EU's actions, Khatibzadeh stated that Iran would consider all options if diplomacy fails. He warned that the EU's actions would increase the level of uncertainty and that they would be responsible for any future risks .

This development could have significant implications for global financial markets. The reimposition of sanctions on Iran could lead to increased volatility in oil prices, as Iran is a major oil producer. Additionally, the suspension of cooperation with the IAEA could lead to increased scrutiny and potential sanctions from other international bodies.

Investors and financial professionals should closely monitor the situation as it unfolds, as it has the potential to impact various sectors of the global economy.