India may use an Iranian bank to channel payment for oil import from the Islamic republic after the US sanctions against buyers of Iranian crude take effect in November even as India hopes to receive US waiver of sanctions.
Indian and US officials recently met in New Delhi and shared their concerns and constraints with respect to the implementation of the Iran sanctions and its consequences.
The Indian side highlighted technical constraints of the country’s refineries, their dependence on Iranian supply and the inability to sharply cut imports from the Islamic republic quickly, according to people familiar with the matter.
Indian officials didn’t come out of the meeting with much clarity on waiver and possible accompanying conditions, but are optimistic that the Indian import of Iranian oil may not have to go down to zero.
