Turkiye revokes operating licence of Iran's Bank Mellat in Istanbul

Turkish authorities have withdrawn the operating licence of Iran's Bank Mellat, which had been running a branch in Istanbul. The move affects a bank that has long been a target of Western sanctions.

History of sanctions

Bank Mellat has faced years of restrictions from Western governments over allegations linking it to Iran's nuclear programme. Such sanctions typically limit access to international financial systems and complicate a bank's ability to operate outside Iran's borders.

Turkiye's decision

By revoking the licence in Istanbul, Bank Mellat loses its ability to formally operate within Turkish territory. Available reporting does not specify the exact circumstances that prompted Turkish authorities to act now, but the decision fits into a broader pattern in which Iranian financial institutions worldwide continue to face heightened scrutiny and restrictions.

Turkiye has traditionally been one of the countries where Iranian banks maintained some presence despite extensive international sanctions elsewhere. The licence revocation could further complicate the Iranian financial sector's access to foreign markets and cross-border transactions.

The step adds to a series of measures affecting sanctioned Iranian financial institutions, suggesting that even countries with historically closer economic ties to Tehran are tightening requirements on Iranian banks.