South Korea's Prime Minister Chung Sye-kyun said Monday South Korea should "quickly" return $7 billion in frozen funds to Iran in the latest diplomatic gesture to resolve the impasse between the two sides.
The prime minister made the remark during a visit to Tehran, where he met Iranian officials amid tension over the funds locked up in South Korea under the US.
"I have said before that this money is Iran's money and should be returned to its owner," Chung told reporters traveling with him according to Yonhap news agency.
"It's best to find a way and return it quickly," South Korea's Prime Minister said.
He added that doing so is in South Korea's best interests and that efforts need to be made to overcome the "various constraints" that are preventing it from happening.
"I have said before that this money is Iran's money and should be returned to its owner," Chung told reporters traveling with him. "It's best to find a way and return it quickly."
Chung is the first South Korean premier to visit the Middle Eastern country in 44 years.
Iran’s first vice president said South Korea must take action to unfreeze Iran’s foreign exchange assets as soon as possible, noting that freezing Iran’s money has badly tarnished the image of South Korean banks among Iranians.
Es’haq Jahangiri made the remarks in a joint press conference with the visiting South Korean Prime Minister Chung Sye-Kyun in Tehran on Sunday.
“The measure taken by South Korean banks to block Iran’s foreign exchange assets has marred the image of South Korea among the Iranian people,” Iran’s VP said.
About $2.7 billion deposited by the Seoul branch of Iran’s Bank Mellat is held by the Bank of Korea, while more than $7 billion worth of Iranian oil money is stuck at the Industrial Bank of Korea and Woori Bank, according to Yonhap news agency. South Korea’s refusal to free them has turned to a diplomatic spat.