Iran says pulling money out of Europe

Iranian President Mahmoud Ahmadinejad prays at a Shi'ite Muslin shrine near Damascus, January 20, 2006 on the last day of the Iranian leader's visit to Syria. REUTERS/Khaled al-Hariri

ایران: ذرِ مبادلہ یورپ سے باہر منتقل


TEHRAN - Iran is transferring its assets from European accounts to other foreign banks, a senior Iranian official said on Friday, in an attempt to pre-empt possible U.N. sanctions over its nuclear program.

The official confirmed comments from central bank governor Ebrahim Sheibani carried on Iran's ISNA student news agency that Iran had started transferring funds.

"Yes, Iran has started withdrawing money from European banks and transferring it to other banks abroad," he told Reuters on condition of anonymity.

There were no details on where the funds might be heading.

"We transfer foreign reserves to wherever we see as expedient. On this issue, we have started transferring. We are doing that," Sheibani told the ISNA agency.

ISNA asked whether the money was being moved to Asian accounts but Sheibani's answer sidestepped whether the assets would head east.

The news spooked financial markets as they pondered the likely destination of Iran's funds.