Iranian Ambassador to Russia Kazem Jalali: "Sanctions have created a resistance economy"
This week the President of the Islamic Republic of Iran (IRI) Ebrahim Raisi will visit Russia. The visit is most important, as evidenced not only by its preliminary assessments in Moscow and Tehran, but also by the geopolitical moment in which it takes place. Iran is involved in the most difficult negotiations in Vienna to comply with the Joint Comprehensive Plan of Action (JCPOA), the so-called "nuclear deal" (abandonment of the military nuclear program in exchange for the lifting of sanctions). It was originally concluded in 2015, but Washington withdrew from it under US President Donald Trump and even introduced new sanctions. Russia, in turn, is holding meaningful talks with the United States, NATO and the OSCE on mutual security guarantees. Both one and the other negotiation processes are difficult - and in both cases at the initiative of Western countries. In these circumstances, the intention to sync the clock, and at the same time to monitor the state of bilateral relations on the part of Moscow and Tehran is quite logical.
The RUSSTRAT Institute asked Iranian Ambassador to Russia Kazem Jalali to answer a number of questions in this regard.
Mr. Ambassador, today our countries have become objects of systemic sanctions. A total of 1,733 of them have been introduced against Iran only by the United States over 40 years (this figure was given by experts as of January 2021). Against Russia - less, but they all fit in six years, and they are constantly increasing in a semi-automatic mode. What does your experience say about countering this practice of constant pressure? Why, even when there is light at the end of the tunnel in certain negotiations, do they again return to sanctions?
Kazem Jalali: At the talks in Vienna, we are focusing on lifting the unilateral cross-border and illegal sanctions against the Iranian people. The government of the United States of America is in violation of Resolution 2231 and is a party to the JCPOA. The purpose of Iran's participation in the nuclear talks is to lift the illegal sanctions imposed on the Iranian people. All parties have reached a common understanding that the United States is the main culprit and is responsible for the current situation. What matters is how we can access a good deal in Vienna. Topics that are the subject of controversy are known. The United States must change its approach for the confidence we need in the lifting of the sanctions against the Iranian people. It is important for us to have this confidence in the lifting of sanctions and to have the guarantees necessary for verification.
Iran entered into dialogue in Vienna in good faith, despite the violation of and withdrawal from the JCPOA, as well as the US' violation of Resolution 2231 and the inaction of the European member countries of the JCPOA in fulfilling their obligations. The Iranian government, guided by a pragmatic, result-oriented approach to negotiations, believes in reaching one good deal. However, this requires an effective and verifiable lifting of sanctions and the return of the opposite parties to their full obligations. Given the actions and violations of the law by the United States of America, including the new sanctions of this country, the provision of clear guarantees by the United States has become a necessity.
How do you manage to protect your economy over such a long distance and how has this sanctions pressure changed it? After all, they hit the most painful points, from energy exports to finances. Now Russia is being threatened with disconnection from the SWIFT interbank payment system. Iran has been living without it for some time now. How to find a way out of situations that are essentially disconnected from the world economy? Close in oneself, on the internal consumer?
It appears that over time the instrument of US sanctions will lose its luster, and sanctioned countries will find ways to counter such illegal sanctions. Energy sanctions cause irreparable damage to the global economy and hamper economic growth in the world, the normal process of trade is facing numerous problems. In fact, sanctions on Iranian oil over the past years have also led to the use of internal opportunities in Iran, and within the framework of the resistance economy, the country's various commercial and industrial sectors have achieved significant development and technological advances.
Iran and Russia, in order to counter illegal US sanctions, connected the local messaging system between the central banks of the two countries and in practice do not use the SWIFT system for mutual exchange of goods carried out using national currencies. There are plans between the central banks of Iran and Russia to activate the local messaging system also in the space of the Eurasian Economic Union, and even connect the MIR and SHETAB payment systems to each other in order to facilitate trade and mutual transactions. Thus, today the sanctions instrument of the United States has completely lost its effectiveness and will soon be ignored by various countries.
If in the 1990s only a few countries fell under sanctions, then in the 21st century it has become a practice of pressure against dissent, the tone in which is set by Western countries, primarily the United States. Dozens of countries fell under it, including such large ones as Russia, Iran, China. What are the chances of joint opposition to this press, which from a political weapon is becoming a part of the global economy and a weapon of competitive struggle? Is coordination or, say, partnership of countries against which sanctions are imposed realistic? In what areas and between which countries is cooperation possible?
The United States of America in recent years, due to the decrease in its world power and the loss of its hegemony, using various tools, opposes countries that intend to live independently in the international system and not depend on the great powers. In fact, the United States, through political and economic pressure, makes up for its weakness in the political and strategic spheres, in reducing its influence in various regions of the world and uses the illegal instrument of sanctions unilaterally, which is contrary to international law and is inhumane, since the peoples of countries under sanctions are having difficulty meeting essential needs, including food and medicines.
Of course, countries under sanctions, including Iran, Russia and others, have found the necessary practical ways to ensure their economic interests under sanctions and continue to cooperate in all areas. One gets the impression that if such a misguided policy by the United States of America continues, the countries under sanctions will develop their cooperation within the framework of political and economic unions and will not need the United States. Regional structures, such as the SCO, BRICS and the Eurasian Economic Union, will ensure the mutual interests of countries for these purposes. In fact, the United States of America will face problems in the future arising from the consequences of its illegal sanctions, and this will accelerate the fall of the United States from a global place in the world system. These sanctions actually pushed us to create a club of countries under sanctions.
Let's move on to more constructive subjects. Iran this year announced the start of preparations for joining the Eurasian Economic Union as a permanent member. What are the stages and terms of this preparation? What specific tasks are set by the Iranian side? In what areas can this change the relationship between our countries in the first place?
In 2016, Iran submitted a proposal to the Eurasian Economic Commission to create a free trade zone between Iran and the EAEU. After two years of negotiations, an Interim Agreement was concluded, as a result, in 2019, Iran temporarily concluded a customs agreement with this economic union for three years. During these years, Iran has been able, using preferential tariffs, to increase its exports to some Eurasian countries, as well as to continue importing some raw and basic goods from the Eurasian countries. During this period, Iran's trade balance with the countries of Eurasia is positive, only the size of imports from Russia exceeds exports to this country.
A few months ago, work began to reach a Free Trade Agreement between Iran and the Eurasian countries, and significant progress has been made in this direction. So, to date, 80% of the text of this Agreement has already been agreed upon, the remaining 20% will also be completed at the upcoming meeting. This text addresses, on the one hand, non-tariff measures and, on the other hand, the Commodity List, in order to eliminate barriers to free trade. According to forecasts, if the parliaments of the member countries of the Eurasian Union are not against this agreement, then in the future the prerequisites for free trade between the two parties will be created.
At different times, they talked about large-scale economic projects between our countries - transport, energy, regional ones. Which of them would you call the most promising today? For example, is the North-South transport corridor a distant prospect or not?
Iran and Russia are two important countries in the region, and there are very large and important opportunities for cooperation between them in all areas. For example, in the field of transit, one can note the great importance of the North-South international transport corridor, where the time and costs of goods supply flows are 50% less than on traditional maritime routes. In the energy sector, Iran and Russia also have plans to develop energy cooperation at the bilateral, regional and international levels, such plans are currently being worked out. In the field of equipment for the energy industry, the two countries, possessing significant technologies, are exchanging experience with each other and implementing a joint production program to meet both their needs and export supplies.
We also talked a lot about tourism projects. Are they realistic in an era of a pandemic?
Since the outbreak of the coronavirus pandemic, the tourism industry has been one of the hardest hit industries in the world because almost all countries have stopped issuing tourist visas. However, gradually and in parallel with the process of mass vaccination in various countries, these restrictions were eased. Iran and Russia have mutually allowed tourists to enter, the diplomatic and consular missions of Iran and Russia issue tourist visas for their citizens.
One of the reliefs provided by the two countries to encourage mutual tourism is the abolition of visas for tourist groups, the corresponding joint Action Plan was signed in June this year by the Minister of Cultural Heritage, Tourism and Handicrafts of Iran and the Head of the Federal Tourism Agency of Russia.
According to the Agreement and the joint Action Plan, groups of 5 to 50 tourists from among Iranian and Russian citizens will be able to visit opposite countries without the need for visas. Of course, in this regard, it is necessary to finalize some executive procedures, for example, the representation of travel companies.
How does Iran feel about the One Belt, One Road project? What prospects do you see in the implementation of this project?
We believe that China's strategic projects, such as the great One Belt, One Road project, are in line with Iran's interests. The agreements concluded under the Belt and Road Initiative generally provide Iran with legal and infrastructural benefits. At the same time, due to the proximity to Iran of many countries located along the corridor of this initiative, further opportunities for regional cooperation are created. In fact, with the implementation of this project, the Iranian economy can achieve such goals as: increasing production and employment in export industries, increasing profitability from overseas supplies through exports relying on non-traditional industries, as well as increasing the attractiveness of the infrastructure of this project for foreign investment.
If Iran uses the possibilities of this Cooperation Agreement and the One Belt, One Road initiative correctly and in the context of national interests, then Iran can achieve a significant result. The BRI agreements between Iran and China, in addition to providing legal and structural benefits to increase trade in general, due to the location of the countries of the Western Asia region, as well as Central Asia, which are neighbors of Iran, along the route of the corridor of the initiative One Belt, One Road will provide an even greater opportunity for regional cooperation. One of the most important steps that can be put into practice under these agreements is to take advantage of the logistics corridors presented in the Belt and Road Initiative.
Afghanistan is a very hot topic for both Iran and Russia. The hasty withdrawal of the United States and its NATO allies from this country in a rushed way has created a fundamentally new situation, when Afghanistan's neighbors have to deal with immediate consequences. How do you assess the Moscow format of interaction? Or maybe you see other formats that can bring together countries with very different views and interests on the Afghan problem?
Regarding the question asked, in which you said "hasty withdrawal", let me use another expression - "irresponsible withdrawal". That is, it is not only about the haste during the departure, but also that this departure was carried out in an irresponsible way, and it might be better to say that they made a flight. In international law, such conditions are usually fixed when countries that have occupied another country or entered into a state of war with one or another country should not leave the structures of this country in a destroyed state during the withdrawal. Unfortunately, this happened during the irresponsible withdrawal of the United States of America from Afghanistan, many structures in this country do not work. This came as a surprise even to the Taliban, who occupied Kabul. And if we look closely, we will see that at that time even the Taliban were not ready to enter Kabul. If we now look at the situation in Afghanistan, we will see that this country is facing a humanitarian crisis, a security crisis, an economic crisis, and so on. The conditions in that country have created problems for Afghanistan's neighbors, both for Russia and Iran, but especially for Iran, because Iran is closer to Afghanistan and shares a common border with it. On our borders, we are now faced with an assault of many thousands of Afghans who want to enter the territory of Iran both legally through obtaining visas and illegally. In the context of our neighborhood, we are faced with such conditions.
Naturally, if we look at the interaction between the two countries, we will see that Tehran and Moscow have always cooperated to a large extent on many regional issues, including the topic of Afghanistan. Although on some issues regarding the analysis of the conditions our countries had different points of view on the assessment of the behavior of the United States and the peace plan promoted by Khalilzad (U.S. Special Representative - RUSSTRAT), the Islamic Republic of Iran never considered it a peace plan, but considered it a plan designed to change power. Iran did not participate in the negotiation process and relevant meetings of the process known as "Doha". However, if we leave this issue aside, Iran and Russia have always held and are holding various consultations between themselves.
A very good mechanism has been formed in the format “Afghanistan's Neighbors + Russia”; Russia was invited to participate in the meeting in the specified format, which was held in early November in Tehran. We consider the “Neighbors of Afghanistan + Russia” format to be an extremely suitable format for drawing attention to the Afghan problem. In addition, we regard the bilateral Iranian-Russian consultations on the Afghan problem as worthy of attention and an important matter. If Russia also proposes other formats, then all of them can be considered.
We are ready for any cooperation with Russia on the Afghan problem. The only issue that we pay attention to, and this issue does not apply in any way in Russia, but relates to a third country, is that we think that that third country did not do a good job, and the responsibility for these disasters and misfortunes, that we now see in Afghanistan lies directly with them, and we see no reason to cooperate with whoever is responsible for such a situation of chaos.
In any case, the Islamic Republic of Iran supports any effort that is aimed at establishing peace and stability in Afghanistan, as well as helping to end the grief and suffering of the people of that country. However, it is a priority that such efforts be carried out under the auspices of the United Nations so that a favorable mechanism can be developed through the UN to assist the Afghan people under the flag of the United Nations.
How would you characterize the prospects for political and economic cooperation between Moscow and Tehran?
Taking into account the will of the top officials of the two countries aimed at the long-term development of cooperation in the current conditions, and despite the process of international changes and negotiations on Iran's nuclear program, based on the documents drawn up, including the joint commission and various working groups in the field of economics and trade, the program development of cooperation is characterized by a favorable trend, and the two countries in the face of American pressure and illegal sanctions can meet each other's mutual needs. Therefore, the prospect of cooperation between the two countries will be promising for its expansion and development of mutual trade. And also for the implementation of various super projects that will take into account not only the interests of the two countries, but also the creation of a strong and stable region. Fortunately, political relations between the Islamic Republic of Iran and the Russian Federation are at a very good level, contacts, consultations, meetings have been established, a constructive and effective dialogue is underway between the officials of the two countries on bilateral issues, as well as on important regional and international issues. The leaders of the two countries have a serious will to develop relations between the Islamic Republic of Iran and the Russian Federation in all areas. We are convinced that during the work of the new government of the Islamic Republic of Iran, which has a special view on working with neighbors, including Russia, God willing, these relations will enter a new phase, and we will witness their further expansion in all areas.
If it's possible, at the end of our interview, what is your favorite parable?
If you permit, instead of a parable, I will talk about the words and instructions of the Prophet of Islam and his most pure family, including Imam Ali, the first Imam of the Shiites of the world, and say the following regarding politics and power. Imam Ali said that power is valuable when the ruler, with the help of this political tool, can restore someone's rights and/or prevent the unlawful and restore human dignity in societies, which for centuries and eras has been destroyed by tyrants and oppressors. Therefore, from the point of view of the Shia imams, politics is an opportunity to establish social justice, that justice, which the Koran calls "the distribution of something strictly according to justice" and calls it (justice) one of the most basic goals of the missions of the prophets (Peace be upon them!).
The interview was conducted by Deputy Director of the RUSSTRAT Institute Dmitry Sabov