Iran oil payments issue to be resolved soon: Source

The impasse over payments to Iran for crude shipments to India is likely to be resolved in the next few weeks, a senior Indian government source said on Friday.                                           

The Reserve Bank of India (RBI) said last month payments to Iran could no longer be settled using a long-standing clearing house system run by regional central banks.     

Since then, the two sides have struggled to find a solution. An Indian delegation went to Iran earlier this month to discuss the matter.    

Iran has now assured India that it will sort out shortly the last remaining issue in a new proposed payments mechanism, which could involve settlement in euros, the source said.  

He added that there was no need for Indian oil companies who import crude to buy on the costlier spot market.