OREANDA-NEWS. May 12, 2009. Belarus and Iran need to create a system of mutual payments to boost economic cooperation, First Deputy Prime Minister of Belarus Vladimir Semashko said as he met with Vice Governor of the Central Bank of the Islamic Republic of Iran Reza Raei, reported the Official website government.by.

“Neither your country nor our country can be satisfied with the existing level of bilateral trade. In 2008, it made up US94 million. In Q1 2009 it was lower than in the same period last year. The reason is the lack of banking instruments, a system of mutual payments. This hampers the development of economic relations and joint projects,” Vladimir Semashko said.

According to him, the Belarusian side is ready to discuss the payments in national currencies, the operation of the bank with Iranian capital which has been set up in Belarus, the prospects of setting up another Iranian bank.

In January-March 2009, the Belarus-Iran trade amounted to US 10.4 million, of which the Belarusian export made up US 5.5 million and import US 4.9 million. The major exports included potassium fertilizers, synthetic fiber and yarn, trucks and tractors, while the major imports were cars and parts to them, fruit.

The promising avenue of investment cooperation includes the participation of Iranian companies in the housing construction and infrastructure modernization projects in the Republic of Belarus.
In September 2008, the National Bank of Belarus registered the first bank with Iranian capital in Belarus – The Trade Capital Bank.

The cooperation in the cultural area is based on the intergovernmental memorandum of understanding and cooperation in the areas of culture, science, education, sport and tourism signed on July 14, 1995. During the visit of the President of Iran to Belarus in 2004, an agreement was signed between the government of the Republic of Belarus and the government of the Islamic Republic of Iran on cooperation in the areas of culture, education, media, sport and tourism.

The countries are expanding their cooperation in the education area. At present, about 300 Iranian citizens study in Belarusian universities.