Rouhani: If FATF is not approved, transactions will become 20% more expensive

The President of Iran emphasized that if the bills related to the Financial Action Task Force (FATF) regulations are not approved, financial transactions for Iran will become 20% more expensive. He stated that the costs of not approving these bills and the absence of the JCPOA (Joint Comprehensive Plan of Action) should be explained to the people, and their opinions should be sought. He stressed that if the people say they want an expensive life, then they accept all these slogans. According to ISNA news agency, Hassan Rouhani spoke on Tuesday, December 10, in a meeting with managers of the Ministry of Roads and Urban Development, noting that foreign banks would not cooperate with Iran if these bills are not approved. He mentioned that without the cooperation of these banks, Iran's financial transactions would be conducted through currency exchanges and would be 20% more expensive. He added, 'We say whether FATF is there or not, no one says that if FATF is there, it means 20% cheaper; if FATF is not there, it means 20% more expensive. Whoever makes slogans should also pay the cost; it cannot be that someone in this country makes a slogan and does not translate its effects for the people; we must translate it.' Opponents of Iran's accession to FATF regulations, mainly from the opponents of Rouhani's government, argue that this would block financial assistance to Hamas and Hezbollah. Commanders of the Revolutionary Guards and media affiliated with this institution, Friday prayer leaders, and other appointees of the Supreme Leader are the most serious opponents of the approval of bills related to FATF regulations. Proponents of Iran's accession to this treaty argue that its opponents fear economic transparency and the prevention of banking corruption. Mr. Rouhani also stated that the profits and losses of the absence of the JCPOA should also be explained to the people, asking them whether they want an expensive life or a cheap life. He emphasized that if the people said they want an expensive life, then they accept all these slogans. Previously, Ali Larijani, the Speaker of Parliament, had also reported that European banks have announced that the condition for cooperation with Iran is the approval of bills related to FATF regulations. Meanwhile, Behrouz Farahani, the spokesman for the Diplomacy and National Interests faction of Parliament, stated that even banks from 'friendly countries' condition their cooperation with Iran on the acceptance of FATF regulations. The bill for Iran's accession to the Convention on Combating the Financing of Terrorism, which is referred to as the 'most important' bill related to FATF regulations, is awaiting further consideration by the Guardian Council after the Parliament addressed its objections. Of the other three FATF bills, including the 'bill to amend the law on combating the financing of terrorism,' the 'bill to amend the law on combating money laundering,' and the 'Palermo bill,' only the first has been approved by the Guardian Council, and the status of the others is unclear. Several members of Parliament, including Parvaneh Salahshouri, a representative from Tehran, had previously reported that they had been threatened with death for voting in favor of the bill for Iran's accession to the Convention on Combating the Financing of Terrorism. The Governorate of Razavi Khorasan announced that 'the source of these text messages' is a former member of the Mashhad City Council with the initials 'K.M.' Media also reported that this person is Khalil Mohammadi, a former member of the Mashhad City Council. Meanwhile, Hassan Rouhani said, 'Someone from a corner we do not know is inciting the people that if FATF is signed and we work with the FATF, Islam will be lost. I wish he understood Islam before saying that Islam will be lost.' In another part of his speech, Mr. Rouhani spoke about the possibility of a dual pricing system for gasoline. He added, 'Usually in other countries, gasoline has multiple prices, and on holidays or busy days, the price of gasoline is different, but we have become accustomed to a fixed gasoline price.' The President of Iran also suggested that to encourage 'regular drivers,' they should be given 'fuel privileges.' The President did not provide further details on how the dual pricing for gasoline would be implemented. Fuel rationing, dual pricing, and the revival of the fuel card in Iran are issues that have been raised among Iranian government officials in recent weeks. Bijan Namdar Zanganeh, Iran's Minister of Oil, stated on November 24 that 'the government's decision is not to increase gasoline prices' but hinted at the possibility of rationing it.