Azerbaijan, Baku, Sept. 20/Trend A. Qurbanova/
Iran has turned down India's request for currency to clear the oil debt, however India can pay off its debt through commodities, Mehr News Agency reported quoting the Governor of Central Bank of Iran Mahmoud Bahmani as saying.
"India has paid off its $5 billion debt, but a small amount remains after recent oil exports to the country," he said.
He noted that India demands currency to pay for the new oil cargo, which was turned down by Iran. However there is no problem in receiving commodity in place of payment.
Iran exports 400,000 barrel of oil to India daily.
Tension between the two countries for oil payments began in December 23 when India's Central Bank (Reserve Bank of India) placed restrictions on transactions with Iran through the Clearing House System (Asian Clearing Union), believed by Washington as having been used by Tehran to bypass international sanctions.
India has agreed to stop paying for its Iranian oil imports via Germany, since German chancellor Angela Merkel had intervened, instructing Germany's central bank (Deutsche Bundesbank) to stop clearing payments from India to the bank, known as EIH, which is under U.S. but not EU sanctions.
India finally paid off its $5 bln dept to Iran via Turkish banks.