Following up on the informal Leaders’ Meeting in Sofia, as well as the Commission’s announcements of 18 May, the European Commission has adopted an update of the Blocking Statute and of the European Investment Bank (EIB)‘s External Lending Mandate.
These measures are meant to help protecting the interests of EU companies investing in Iran and to demonstrate the EU’s commitment to the Joint Comprehensive Plan of Action (JCPOA).
Through the update of the Blocking Statute, the extraterritorial sanctions that the United States will re-impose on Iran are added to its scope, while the update of the EIB’s External Lending Mandate would make Iran eligible for investment activities by the EIB.
This enabling measure does not however commit the EIB to actually support projects in Iran as it remains for the EIB’s governing bodies to decide to take up such financing activities – in line with relevant rules and procedures.
Following today’s adoption, the European Parliament and the Council will have a period of two months to object to these measures before they enter into force. If no objection is raised, the updated acts will be published and will enter into force at the latest at the beginning of August, by the time the first batch of re-imposed US sanctions will take effect.
The European Union is fully committed to the continued, full and effective implementation of the JCPOA, so long as Iran also respects its obligations. At the same time, the European Union is also committed to maintaining cooperation with the United States, who remains a key partner and ally.
(Picture credit: Tasnim, under Creative Commons licence)