India has said it has no further financial commitments to the Chabahar Port project in Iran, on Tuesday.
In a written reply in parliament, Minister of State for External Affairs Kirti Vardhan Singh stated that on 13 May 2024, India Ports Global Limited signed a ten year contract with Iran’s Ports and Maritime Organisation to equip and operate the Shahid Beheshti Terminal at Chabahar Port.
Under the agreement, India fulfilled its commitment by contributing 120 million US dollars for port equipment.
The minister said that there are no additional financial obligations from the Government of India towards the port project.
“India has fulfilled its commitment of contributing USD 120 million for the procurement of port equipment. Therefore, there is no further financial commitment from the Government of India towards the port,” the statement read.
The statement further talked about concerns about the United States sanctions.
On 16 September 2025, the United States Department of State revoked the sanctions exception that had been granted in 2018 under the Iran Freedom and Counter Proliferation Act.
The exemption had earlier allowed India to continue work at Chabahar in support of Afghanistan’s reconstruction.
Following discussions between India and the United States, Washington issued new guidance extending a conditional sanctions waiver until 26 April 2026.
The Indian government said it is continuing to engage with all concerned parties to manage the impact of these developments and protect its strategic and commercial interests at the port.
“On 16 September 2025, the US State Department revoked the sanctions exception issued in 2018 under the Iran Freedom and Counter Proliferation Act of 2012 for Afghanistan’s reconstruction and economic development, effective 29 September 2025.”
It further read, “Pursuant to discussions with the US side, the latter issued guidance extending the conditional sanctions waiver until 26 April 2026. The Government of India remains engaged with all concerned in order to address the implications of these developments,” the statement read.
Read more: President Trump posts PM Shehbaz’s US-Iran talk proposal on his Truth Social account
