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EU sanctions Iran

Published:Monday | June 23, 2008 | 3:53 PM

The European Union has agreed to new financial sanctions aimed at pressuring Iran to halt uranium enrichment.



The new measures will freeze all assets of the Bank Melli, Iran\'s biggest bank, within the EU.



Iran has insisted that its nuclear programme is entirely peaceful, but is defying a demand from the UN that it stops the enrichment of uranium.



Western officials have accused Bank Melli of providing services to Iran\'s nuclear and ballistic missile programmes.



Last week, the EU\'s foreign policy chief Javier Solana, offered new incentives to Tehran, but is still to receive a reply.



Earlier this month, Russia, China, the UK, France and Germany, renewed a package of incentives to Iran to try to encourage the opening of negotiations.