E3 ready to censure Iran for restricting UN access to nuclear plants


Soraya Ebrahimi
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The European signatories to the 2015 nuclear deal with Iran are likely to put down a resolution condemning Tehran’s decision to restrict the UN atomic watchdog’s ability to inspect its nuclear sites.

The resolution is expected to be proposed by France, Germany and the UK at a meeting later this week of the International Atomic Energy Agency and will be backed by the US, AFP reported.

Iran suspended some inspections last month because the administration of US President Joe Biden has refused to lift sanctions imposed by his predecessor Donald Trump.

A last-minute interim agreement between Tehran and the IAEA is supposed to mitigate the impact.

But Iran has said the introduction of the E3's resolution would lead it to abandon the temporary deal.

The IAEA appealed for its access to the nuclear facilities not to be used as a bargaining chip.

It came as the EU said diplomacy needed to be given time after Iran rejected an invitation for informal talks with the US and European powers over reviving the 2015 nuclear deal.

Peter Stano, an EU foreign policy spokesman, said the aim remained ensuring the full implementation of the 2015 nuclear accord, officially known as the Joint Comprehensive Plan of Action.

He said the EU’s foreign affairs chief Josep Borrell, as co-ordinator of the JCPoA, was ready to convene all signatories of the deal for consultations “when the time is right”.

“Diplomacy needs to be given time and space, and this is what we are engaged in,” said Mr Stano.

A UK Government spokesman said: "Our priority is to work with the parties of the Joint Comprehensive Plan of Action and the new US administration to find a diplomatic way forward that realises the benefits of the deal.

"It is unfortunate that Iran has declined an informal JCPoA meeting this week with the US, and we are consulting partners on next steps.”

On Sunday, Iran ruled out a meeting with all the JCPoA’s signatories, citing “recent actions and statements” by the US, Britain, France and Germany.

Iran’s recent repeated breaches of the JCPoA, which have seen it take another step towards being able to develop a nuclear weapon, have been condemned.

"The inspection work of the IAEA must be preserved … (it) should not be put in the middle of a negotiating table as a bargaining chip," said Rafael Grossi, the IAEA’s director general.

Mr Grossi refused to be drawn on the utility of the critical resolution by the three European powers.

"My appeal to all is to have constructive discussions and to preserve the work of the agency," he said.

The 2015 accord has been close to collapse since Mr Trump withdrew the US in 2018 and reimposed sanctions as part of a "maximum pressure" campaign against Tehran.

"Considering the recent positions and actions of the United States and the three European countries, Iran does not consider the time suitable to hold the informal meeting proposed by the European co-ordinator", Iranian foreign ministry spokesman Saeed Khatibzadeh said.

He said there had still been "no change in the US positions and behaviour".

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Will the pound fall to parity with the dollar?

The idea of pound parity now seems less far-fetched as the risk grows that Britain may split away from the European Union without a deal.

Rupert Harrison, a fund manager at BlackRock, sees the risk of it falling to trade level with the dollar on a no-deal Brexit. The view echoes Morgan Stanley’s recent forecast that the currency can plunge toward $1 (Dh3.67) on such an outcome. That isn’t the majority view yet – a Bloomberg survey this month estimated the pound will slide to $1.10 should the UK exit the bloc without an agreement.

New Prime Minister Boris Johnson has repeatedly said that Britain will leave the EU on the October 31 deadline with or without an agreement, fuelling concern the nation is headed for a disorderly departure and fanning pessimism toward the pound. Sterling has fallen more than 7 per cent in the past three months, the worst performance among major developed-market currencies.

“The pound is at a much lower level now but I still think a no-deal exit would lead to significant volatility and we could be testing parity on a really bad outcome,” said Mr Harrison, who manages more than $10 billion in assets at BlackRock. “We will see this game of chicken continue through August and that’s likely negative for sterling,” he said about the deadlocked Brexit talks.

The pound fell 0.8 per cent to $1.2033 on Friday, its weakest closing level since the 1980s, after a report on the second quarter showed the UK economy shrank for the first time in six years. The data means it is likely the Bank of England will cut interest rates, according to Mizuho Bank.

The BOE said in November that the currency could fall even below $1 in an analysis on possible worst-case Brexit scenarios. Options-based calculations showed around a 6.4 per cent chance of pound-dollar parity in the next one year, markedly higher than 0.2 per cent in early March when prospects of a no-deal outcome were seemingly off the table.

Bloomberg

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Company name: baraka
Started: July 2020
Founders: Feras Jalbout and Kunal Taneja
Based: Dubai and Bahrain
Sector: FinTech
Initial investment: $150,000
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If you go

The flights
Emirates (www.emirates.com) and Etihad (www.etihad.com) both fly direct to Bengaluru, with return fares from Dh 1240. From Bengaluru airport, Coorg is a five-hour drive by car.

The hotels
The Tamara (www.thetamara.com) is located inside a working coffee plantation and offers individual villas with sprawling views of the hills (tariff from Dh1,300, including taxes and breakfast).

When to go
Coorg is an all-year destination, with the peak season for travel extending from the cooler months between October and March.

UAE currency: the story behind the money in your pockets
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Midfielders: Ali Salmeen, Abdullah Ramadan, Abdullah Al Naqbi, Majed Hassan, Yahya Nader, Ahmed Barman, Abdullah Hamad, Khalfan Mubarak, Khalil Al Hammadi, Tahnoun Al Zaabi, Harib Abdallah, Mohammed Jumah, Yahya Al Ghassani

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7.45pm: CCI France UAE – Handicap (TB) Dh87,500 (D) 1,400m 

8.20pm: Czech Business Council – Rated Conditions (TB) Dh105,000 (D) 1,400m 

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UAE currency: the story behind the money in your pockets