End of sanctions offers chance to fix Iran’s banking sector

Iranian banks struggling with high levels of non-performing loans may see their situation improve, but deep reforms are needed and the political situation remains complex

The Central Bank of Iran

The lifting of sanctions against Iran in mid-January looks set to offer respite to the country's troubled banking system, especially after the Central Bank of Iran confirmed all sanctions-hit banks have now reconnected to the Swift network. But economists believe deep reforms are still needed.

The banking sector has long been suffering from slender capital buffers and a heavy weight of non-performing loans (NPLs). The situation was exacerbated by sanctions, with the exclusion of major banks from

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