Iran is sending its Central Bank Vice Governor, Gholamali Kamyab, to India this month in order to re-claim nearly $6b in past oil dues from Indian refiners such as Essar Oil, Mangalore Refinery and Petrochemicals Ltd (MRPL), Economic Times reported.

Tehran aims at resolving existing disputes over foreign exchange rate, as a Press TV report explained. While previous oil bills with the Indian customers were set in US dollars and 45 % of the oil bill was paid in rupees at the then accurate exchange rate, Iran now claims to receive the remaining 55 % of the debt to be paid in full amount at the present exchange rate.  However, Essar Oil and other refiners insist they will pay Iran at the exchange rate prevalent at the time of buying crude oil in the last three years, before the economic sanctions that closed banking channels between the countries.

In 2013, Rupee to a US dollar was under the value of 55, but nowadays it is at the level of 67 per $1. Iran informed India that it will not accept the old payment method, it will instead re-activate euro accounts with the Indian banks and would demand to have the past dues transferred from refiners into these accounts.