US hopes to build on Iran nuclear talk progress this week

Deputy Secretary General of the European External Action Service (EEAS) Enrique Mora and Iran's chief nuclear negotiator Ali Bagheri Kani and delegations wait for the start of a meeting of the JCPOA Joint Commission in Vienna, Austria. (Reuters/File)
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Updated 04 January 2022
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US hopes to build on Iran nuclear talk progress this week

  • “There was some modest progress in the talks last week. We hope to build on that this week”: Price

WASHINGTON: Nuclear deal talks with Iran in Vienna have shown modest progress and the United States hopes to build on that this week, State Department spokesman Ned Price said on Tuesday amid efforts to revive a 2015 agreement.
The Joint Comprehensive Plan of Action (JCPOA) lifted sanctions against Tehran in exchange for restrictions on its atomic activities but Donald Trump pulled Washington out of the deal in 2018, a year after he took office.
Iran later breached many of the deal’s nuclear restrictions and kept pushing well beyond them. Tehran says it has never pursued the development of nuclear weapons.
In the latest round of indirect talks between Iran and the United States in Vienna, Tehran is focused on getting US sanctions lifted again.
“There was some modest progress in the talks last week. We hope to build on that this week,” Price told reporters.
“Sanctions relief and the steps that the United States would take… when it comes to sanctions together with the nuclear steps that Iran would need to take if we were to achieve a mutual return to compliance with the JCPOA – that’s really at the heart of the negotiations that are ongoing in Vienna right now.”

Meanwhile, Iran said it has detected a new “realism” on the part of Western countries, as further meetings in Vienna aimed at rescuing the accord got underway.

The talks resumed in late November and the latest round was set to formally get underway on Monday after a three-day break for the end of year holidays.

Tehran’s chief negotiator Ali Bagheri met with EU coordinator Enrique Mora, Iran’s state news agency IRNA reported.

Bagheri held a separate meeting with top negotiators from the European parties to the deal, the agency added.

Monday’s meetings were “informal,” Russia’s envoy in Vienna, Mikhail Ulyanov, said on Twitter.

The meetings came hours after Tehran detected what it called a sense of “realism” from Western parties.

“We sense a retreat, or rather realism from the Western parties in the Vienna negotiations, that there can be no demands beyond the nuclear accord,” Foreign Ministry spokesman Saeed Khatibzadeh told reporters.

However, “it is too early to judge if the United States and the three European countries have drawn up a real agenda to commit to lifting sanctions,” he said.


Turkiye to forge on with tight economic policy, some fine-tuning, VP Yilmaz says

Updated 57 min 50 sec ago
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Turkiye to forge on with tight economic policy, some fine-tuning, VP Yilmaz says

  • The central ‍bank forecasts inflation between 13-19 percent by end-2026

ISTANBUL: Turkiye is committed to carrying on its tight economic policies ​in order to cool inflation, and though it may fine-tune the program it will not change course, Vice President Cevdet Yilmaz said in comments embargoed to Friday.
“There is no plan to pause our program,” Yilmaz said at a briefing with reporters in Istanbul on Thursday. “All programs are dynamic, and adjustments can always be made.”
Yilmaz, who plays a key role overseeing economic policy at the presidency, said any such adjustments would aim to support production, investment and ‌exports while moderating consumption.
Turkiye ‌has pursued tight monetary and fiscal policies ‌for more ⁠than ​two years ‌in order to reduce price pressure, leading to high financing and borrowing costs that have weighed on businesses and households. Inflation has eased slowly but steadily over the last year but remains elevated at 31 percent annually.
Last month, Is Bank CEO Hakan Aran warned that focusing solely on one target — inflation — could create side effects, suggesting a “pause and restart” might be healthy once the program achieves certain targets.
Yılmaz said the ⁠government expects improvements in inflation in the first quarter, which should reflect to market expectations for year-end ‌inflation around 23 percent. The government projects inflation to dip ‍as far as 16 percent by year end, ‍within a 13-19 percent range, and falling to 9 percent in 2027. The central ‍bank forecasts inflation between 13-19 percent by end-2026.
Yilmaz noted inflation fell by nearly 45 points despite pressure from elevated food prices, hit by agricultural frost and drought.
The agricultural sector is expected to support growth and help ease price rises this year, which could ​help achieve official inflation targets, he said.
Yilmaz said the government wants to avoid a rapid drop in inflation that could hurt economic ⁠growth, jobs and social stability.
Turkiye’s economic program was established in 2023 after years of unorthodox easy money that aimed to stoke growth but that sent inflation soaring and the lira plunging. The program aims to dislodge high inflation expectations while boosting production and exports, in order to address long-standing current account deficits.
The central bank, having raised interest rates as high as 50 percent in 2024, eased policy through most of last year, bringing the key rate down to 38 percent.
Asked whether lower rates could trigger an exit from the lira currency, Yilmaz said: “What matters is real interest rates. Lowering rates as inflation falls does not affect real rates, so we do ‌not expect such an impact.”
He added that the government will strengthen mechanisms that selectively support companies while improving overall financial conditions.