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Iran's Rouhani defiant in face of hardliners
by Staff Writers
Tehran (AFP) Jan 15, 2014


US warns firms against breaking Iran sanctions
Rome (AFP) Jan 15, 2014 - Iran is still a "perilous" place for foreign companies to do business because of sanctions unaffected by the recent interim nuclear deal, a senior US administration official said on Wednesday during a visit to Rome.

The six-month agreement only provides for the easing of limited sanctions and the unblocking of some frozen Iranian assets abroad and foreign firms should not "over-interpret" its scope, the official said.

"Businesses need to take into account the legal and reputational risk of doing business with Iran", he said, speaking on condition of anonymity.

The official added that Italy had been identified by Washington as one of the countries with historic and current trade ties with Iran and pointed out that Tehran saw Italy as a possible "gateway" to Europe.

Italian oil major ENI, along with other foreign oil firms, should "convey to their partners in the oil sector that they are not going in now," he said.

The US is engaged in "an ongoing effort to visit key partners to continue to ensure that the sanctions regime that has been built over the past 5-10 years remains robust, remains in place," he said.

The international deal with Iran is due to come into force from January 20 and foresees the suspension of certain sanctions on gold and precious metals, Iran's auto sector, and petrochemical exports.

It will also allow for safety-related repairs and inspections for some Iranian airlines, ease restrictions on oil shipping and unblock $4.2 billion (3.1 billion euros) from sanctioned Iranian oil sales.

President Hassan Rouhani, responding to domestic critics, said Wednesday Iran's foreign policy is in the hands of the government only, ISNA news agency reported.

The president's moderate views on recent nuclear talks and foreign policy have clashed with ultraconservative factions in the regime.

But he has so far enjoyed the qualified support of Supreme Leader Ayatollah Ali Khamenei, who has the final say on all state matters.

"The government is in charge of foreign policy and... makes decisions about it within the framework of the supreme leader's policies and no one else can interfere," said Rouhani.

"Political infighting and clashes which create tension in society and have (an adverse) impact on economic activities are not acceptable," Rouhani said during a visit to oil-rich Khuzestan province.

Western powers had slapped Iran with crippling sanctions over suspicions it is using its nuclear activities to produce an atomic bomb. Tehran has repeated denied that, insisting its programme is peaceful.

Iran and major world powers clinched a historic nuclear deal in November.

In a major achievement for Rouhani, Tehran agreed to curb parts of its nuclear drive for six months in exchange for modest sanction relief and a promise by Western powers not to impose new measures on its economy.

Rouhani won a first-round electoral victory over a pool of conservatives last year. He was elected with the vow of a more diplomatic approach with the West after eight years of stalled talks and escalating sanctions under hardline predecessor Mahmoud Ahmadinejad.

"Some people... ask what is (the use of) confidence-building smiles and constructive interaction. It is for the progress of the country," Rouhani said.

Some of his ministers have been repeatedly summoned to parliament over their stances, and some MPs have asked to have a formal seat in the nuclear talks with world powers.

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