The South-African Telecom Company, MTN, is attempting to transfer 300 million Euros out of Iran before Trump’s possible exit out of the Iranian nuclear deal.
According to BusinessDay, MTN is negotiating with the Central Bank of Iran (CBI) to create a solution to repatriate its money (300 million Euros) before Donald Trump possibly decides to exit the JCPOA and convinces the European sides to follow. In that case, MTN’s attempts will be pointless. Also, it’s worth mentioning that if the United States alone got out of their deal with Iran and the UK and the other European sides decide to remain in the deal, MTN will still be capable of transferring their money. It is appointed that Trump announces whether he will stay in the deal or not on May 12th.
MTN Chief Financial Officer, Ralph Mupita, told the investors: “A ‘worst-case scenario’ would be for MTN’s Iranian business to be shut off from both European and US financial institutions as this would lock in MTN’s funding. But we think there will be something less than that negotiated in and around the twelfth.”
Mupita continued about Iran’s currency fluctuations and its settling to 42 thousand Rials a Dollar. He mentioned that, they are transferring the money with this rate as they have, in the past few months. MTN has succeeded to transfer 30 million Euros out of Iran during the first quarter of this year, according to BusinessDay.
MTN had shown great tendency in making profit out of Iran’s e-commerce and tech scene for the past years. This South African company has made great investments in Iran especially on multiple startups. And thanks to their investments, today startups Such as Snapp and Bamilo are active in Iran. However with the recent tensions that were raised between the U.S. and Iran after Trump’s presidency, many concerns are raised by this company to continue its strategies in the country. As a result of this and perhaps other reasons, MTN is not planning new investments in Iran rather they are hasting to get their money out of the country before matters get more intense.