"This financial system has been suggested too late and [it] operates at a low level. It has not been yet fully implemented," Araghchi said.
He also stressed that this system "will be successful if the Europeans buy oil from Iran, as Iran's main export to Europe is oil. If not, there will be not a large amount of money left for trade in accordance with this tool."
Last week, Russian Foreign Minister Sergei Lavrov said the INSTEX mechanism still remained on paper.
INSTEX was set up by France, Germany and the United Kingdom in January as a way of continuing business operations with Iran and ease non-dollar trade in the wake of renewed US sanctions following Washington's withdrawal from the Joint Comprehensive Plan of Action in May 2018. This move is part of the US' policy of "maximum pressure" on Tehran.
