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Result of Iran’s strategy of looking to the east!

In November 2020, the Chinese Foreign Ministry spokesman Hu Chun Ying, along with the foreign ministers of the three European member states, said that "The Joint Comprehensive Plan of Action (JCPOA) alone does not solve all the problems and negotiations and multilateral talks should take place in the Middle East." The Iranian regime did not welcome the announcement.
Over the past year, the Islamic Republic leaders have used all their resources to downgrade and neutralize the United States' policy of "maximum pressure" on Iran. The regime in Iran rushed to quickly implement a 25-year strategic pact between Iran and China so that they may be able to shield themselves from the US sanctions. In his speech in the parliament on July 5, 2020, referring to the pact as a way out of US sanctions against Iran, the Iranian foreign minister said: "Today, the world is witnessing a major change in international relations, perhaps in the last 100 years or at least in the 70 years is unprecedented since the end of World War II”.
On the other hand, over the past year, China has calmly witnessed Iran's willingness for a strategic relationship with China and has taken advantage of differences and disputes between Iran and the Gulf states to engage itself in large-scale economic deals with Iran's regional rivals, the UAE and Saudi Arabia.
A year ago, when the world immediately stopped all the flights to China due to the coronavirus outbreak, Iran continued its normal relationship with China and did not suspend its flights to China for a long time. But this summer, when China was looking for a country in the Middle East to launch a research project to manufacture the Corona vaccine, it did not respond to Iran's requests to host the project and chose the United Arab Emirates.
During Mohammad Javad Zarif's visit to China in October and at a time when the US sanctions were continuing, some reports suggested that the 25-year Iran-China agreement was being re-evaluated. Because China had implicitly tied strategic cooperation with Iran to the participation of some countries in the Persian Gulf that had economic and even security conflict with Iran.
During that visit, Wang Yi told Zarif: "China, respects the legitimate security concerns of all parties, proposes that the framework and arrangements for multilateral regional dialogue be established to facilitate a level playing field for all countries in the region. This could provide opportunities to strengthen the Joint Comprehensive Plan of Action (JCPOA). As a result, the security issues in the Persian Gulf and the Middle East will be resolved through political and diplomatic means. In a way, China is formally and substantively embracing such a dialogue between all parties and encourages their participation.
But when Chinese Special Representative Yang Jiechi visited the Crown Prince of Abu Dhabi on October 10 with a letter from Xi Jinping, a publication of this news on the Chinese Foreign Ministry's website clarified the country's new policy in the region. the statement said, “President Xi and the Crown Prince have a long-term plan to strengthen and develop relations between the two countries, and this will set a new course in bilateral relations". China has always considered the UAE as its diplomatic priority. "China will strengthen its comprehensive strategic partnership with Abu Dhabi and strengthen political support and trust, and the two countries will enhance cooperation and ties in development strategies and put the quality development of the belt- road connection initiative on the agenda."
This statement made it clear that China invests great importance in its relations with the Gulf states, especially the United Arab Emirates and Saudi Arabia. Therefore, it can be considered that with the continuation of the existing problems between Iran and the governments of the region, especially these two specific countries, the "25-year contract" will not materialize.
This means that without improving its relations with the region's countries, Iran cannot expect improvements in its relationships with China.
The same approach has been observed from Russia after the US announced its withdrawal from the Joint Comprehensive Plan of Action (JCPOA).
As European financial trades with Iran came to a halt, and the US State Department and Treasury tightened its oil blockade on Iran, Russia received an offer from Iran that could make it easier for its southern neighbor to deal with sanctions.
During a visit to Russia and a long meeting with Putin, Ali Akbar Velayati conveyed Khamenei's message to the Russian President and called for a strategic alliance between the two countries. Later, the Iranian oil minister visited Russia and repeated Iran's multi-year offer to receive goods and services from Russia in exchange for an oil swap; but Russia's response, same as its response of a few years ago, was not to respond and ignore it.
Velayati later said that China and Russia have assured him that they would stay with Iran under any circumstances after the withdrawal of the United States from JCPOA: "Russia and China have stated that we will buy oil even if the Americans impose sanctions on us."
He also assured that India would turn its back on US sanctions and continue to buy oil from Iran.
Velayati's optimism about Beijing and Moscow even went beyond buying oil, and he said; “the two countries' oil companies would replace European companies in plans to develop Iran's oil and gas fields.”
From the summer of 2018 to the winter of 2020 more than two years passed, China, India, and Russia, albeit dissatisfied, have acted in line with the US policy of maximum pressure. India stopped importing oil altogether, and China reduced it to the lowest possible level in three decades, buying the same small amount of oil only on the condition that it will pay back with its goods and services.
The Iranian authorities had declared the "strategy of looking to the east" a "special measure" of the leader of the Islamic Republic, but this strategy did not do anything for Iran. Iranian officials had assumed this policy solely based on their perception of China and Russia's readiness to directly confront the United States. But the result of this strategy, instead of turning Iran into a decisive figure in the balance between Russia and China with Western countries, has become a means for both sides to make the most out of Iran by compromising, with only Iran being the main loser!
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BENEFIT AGM approves 10%...
- March 27, 2025
BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).
Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.
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