IMF rebuffs calls to cut ties with Iran

Organization says its relations with Iran are consistent with international sanctions

By Ilan Ben Zion 2 May 2012, 6:30 am Edit

Ilan Ben Zion is an AFP reporter and a former news editor at The Times of Israel.

International Monetary Fund logo.

The International Monetary Fund (IMF) rejected calls on Tuesday night to sever ties with Iran’s central bank in order to comply with US and EU sanctions.

United Against Nuclear Iran (UANI) urged the IMF on Monday to terminate its account with Bank Markazi, one of the sanctions’ targets, or cancel Iran’s membership in the organization.

The IMF responded to the demands saying its affiliation with Bank Markazi is exclusive to Iran’s membership in the IMF and doesn’t violate sanctions imposed on Tehran to halt the development of nuclear weapons.

“According to our constitution… the IMF’s holdings of each member’s currency are maintained with the central bank of the relevant member, including Iran,” IMF Spokesman William Murray said.

“There is nothing in the EU or US sanctions regimes that is inconsistent with these arrangements. This is a matter that is best taken up with the fund’s member countries.”

UANI is a group of ex-US diplomats, security officials, scholars, and professionals whose objective is to increase international pressure on Tehran. Mark Wallace, a former US ambassador to the UN, is the group’s president.