The MFSA has issued a Notice to all Financial Services Licence Holders confirming the coming into effect of changes to restrictive measures against Iran, following the implementation of EU Council Regulations adopted on the 16th January 2016.
Accordingly, various economic and financial sanctions in place against Iran have effectively been lifted, meaning that:
- Several entities and individuals have been removed from the sanction lists and are therefore no longer subject to restrictive measures. Accordingly assets pertaining to such entities and individuals are no longer subject to freezing requirements and should be released;
- Restrictions relating to transfer of funds to and from Iran were removed with the result that financial transfers between EU based financial Institutions and non-listed Iranian institutions and persons has become permissible without any requirement to notify and/or obtain authorisation;
- The provision of banking services including the establishment of correspondent banking relationships and opening of accounts for non-listed Iranian institutions and persons is now allowed;
Restrictions relating to transfer of funds to and from Iran were removed with the result that financial transfers between EU based financial Institutions and Iranian institutions and persons has become permissible
The opening of branches, subsidiaries or representative offices of non-listed Iranian financial institutions in Member States is now permitted;
- EU based Financial institutions are now allowed to establish subsidiaries, representative offices or branches in Iran including the opening of bank accounts with non-listed Iranian financial or credit institutions;
- The provision of insurance and reinsurance services to non-listed Iranian entities and persons is permitted.
The above-mentioned EU Council Regulations have immediate effect in Malta and require no implementation measures. The full text is available here.