Days after Iran's historic accord with world powers to end sanctions, Finance Secretary Rajiv Mehrishi will this week lead an official delegation to Tehran to discuss payment of $6.5 billion that India owes in past oil dues.
The 4-member delegation for talks on July 25 and 26 will include an official from Reserve Bank of India (RBI) as well as Oil Ministry, senior official said.
“The agenda for talks is oil payment and other bilateral and economic issues,” he said. The delegation will leave for Tehran on July 24. Mehrishi chaired a meeting on the Iranian oil issue today whichwas attended by officials of RBI and Oil Ministry.
Iran and six world powers last week sealed an accord to curb the Islamic Republic's nuclear programme in return for ending sanctions. lifting of sanctions would open up banking channels and Tehran is likely to seek past oil dues.
India is keen that the repayment of dues that have accumulated since February 2013, be done in staggered manner so as to avoid a run on the rupee.
The official said banking channels as well as payment schedule is likely to be discussed during the two day talks. Since February 2013, Indian refiners like Essar Oil and Mangalore Refinery and Petrochemicals (MRPl) have been paying 45 per cent of payment due on purchase of crude oil from Iran in rupees.