Over a year ago the President of the United States Donald Trump formally pulled the U.S. out of the nuclear deal which was struck between Iran & the world powers in July 2015.
The decision of Trump faced a lot of backlash from other signatories of the deal mainly Russia, China, The European Union, France, the United Kingdom, and Germany.
Earlier this year, Germany, France, and Britain (also famous as the E3) launched an Instrument in Support of Trade Exchanges (INSTEX) which was solely meant to facilitate the legitimate trade between Iran and European economic operators in order to convince Iran to stay in the nuclear deal of 2015.
Soon after the announcement of Europe, hailing the idea, on the 20th of March, Governor of the Central Bank of Iran ‘Abdul Naser Hemmati’ made an announcement regarding registration of a mechanism which was pretty similar to that of the INSTEX in Iran, known as the Special Trade and Finance Institute (STFI).
The main reason behind the establishment of STFI was to ease INSTEX implementation and at the time, the government of Iran announced that Iran has no problem with getting the financial instrument of Europe operational any time that Europeans decided to make INSTEX operational.
Since then onwards, numerous rounds of talks had been held & hours and hours of negotiation and discussions were done on the subject. Europe claimed several times that “the mechanism will be operational in a little while”, but so far the European Union claims have been no more than a bunch of empty promises.
The repeated false promise of the Europeans eventually worn the patience of Iran thin, so that on this Sunday, an official announcement was made by Iran that it will be taking the second step in the reduction of its commitment to the JCPOA, as the deadline set by Tehran for the Europeans to protect Tehran against the United States’ sanctions ended on 7th of July.