Turkey's Banking Regulation and Supervision Agency announced the cancellation of the operating licence for the Istanbul branch of Iran's Bank Mellat, ending a presence that had lasted for 44 years. The decision was reported by Middle East Eye and reflects a regulatory action taken against the Iranian financial institution, which remains listed on the United States Treasury's sanctions roster.
The United States first placed Bank Mellat on its sanctions list in 2018, alleging that the bank provided financial support linked to activities deemed hostile by Washington. Since that designation, the bank has been subject to a range of restrictions aimed at limiting its ability to operate in the global financial system. Recent reports indicate that US pressure on Tehran has intensified, prompting heightened scrutiny of entities connected to Iran's banking sector.
Turkey's regulator cited a specific provision that permits the withdrawal of a licence when continued operations are judged to pose a threat to the rights of depositors or to the overall stability of the financial system. By invoking this clause, the agency framed the revocation as a precautionary measure intended to protect the integrity of Turkey's banking environment and to safeguard customer interests.
According to Al Jazeera, the Turkish authority did not explicitly link its action to the United States' sanctions regime, although the timing coincides with a broader wave of economic measures directed at Iran. The revocation underscores the complex interplay between national regulatory frameworks and international sanctions policy, highlighting how domestic institutions may respond to external pressure without formally attributing causality.
The removal of the licence effectively halts Bank Mellat's operations at its main Istanbul location, potentially limiting the bank's ability to conduct transactions within Turkey. Observers note that the move may have implications for Iranian businesses and individuals who previously relied on the branch for banking services, though no further details on the immediate impact have been released.
Reporting attribution: based on reporting by Middle East Eye — original source: https://www.middleeasteye.net/live-blog/live-blog-update/turkey-revokes-licence-irans-bank-mellat-us-sanctions-intensify.