Turkiye revokes operating licence of Iran’s Bank Mellat in Istanbul

What Happened

Turkiye's Banking Regulation and Supervision Agency (BDDK) revoked the operating licence of Bank Mellat's Istanbul Turkey Central Branch, according to a decision published in the Official Gazette on Saturday. The regulator cited a clause in Turkiye's banking law permitting licence revocation when a bank's continued operation is deemed to pose a risk to depositors' rights or to the security and stability of the financial system; the Turkish notice did not cite US sanctions measures or specify operational issues. Bank Mellat has been subject to Western sanctions for years over allegations that Tehran pursued a nuclear weapon under the cover of a civil nuclear programme, though sanctions were lifted under the 2015 nuclear deal and reimposed after the United States withdrew in May 2018. In 2019, Bank Mellat was named by the US and Gulf states as one of 25 entities linked to Iran's Islamic Revolutionary Guard Corps (IRGC). Earlier this month, the US Treasury Department sanctioned Golden Global Yatirim Bankasi Anonim Sirketi (Golden Global Bank) and two subsidiaries, accusing the Turkish investment bank of facilitating 'tens of millions of dollars' worth of transactions for the Islamic Revolutionary Guard Corps-Qods Force' and providing the Iranian government with banking access to move funds internationally. Golden Global Bank has denied the accusations.

Key Actors

Why It Matters

The licence revocation targets an Iranian bank with a long sanctions history at a time when Washington is pressing Turkish financial institutions over alleged IRGC-Qods Force transactions. It may signal Ankara's willingness to act on financial-system risk independently or in alignment with US pressure, while potentially straining Turkish-Iranian financial ties.

Watch For

Watch for any response from Bank Mellat or the Iranian government, including legal appeals against the BDDK decision; whether Turkish regulators provide further operational details beyond the cited banking-law clause; and whether the US Treasury or Gulf states impose additional sanctions on Turkish or Iranian financial entities. Also monitor whether Golden Global Bank contests the US allegations through legal or diplomatic channels.