Iran's global banking problems deepen with rise of Trump, Brexit

LONDON/ANKARA (Reuters) - Britain's vote to leave the European Union and the rise of U.S. presidential nominee Donald Trump have paralyzed efforts by Western governments to encourage already highly reluctant international banks to do business with Iran.

Uncertainty is frustrating Tehran's push for foreign investment to revive its struggling economy: over Britain's political and economic future, over whether Trump - who wants to scrap a nuclear deal with Iran - will get into the White House, and over whether banks will fall foul of U.S. sanctions if they process transactions with the Islamic Republic.

Iran's failure to get full access to the global financial system a year after it signed the nuclear deal with world powers has intensified domestic political infighting. It has also turned up the heat on President Hassan Rouhani, a pragmatist facing re-election next year, who has gambled on attracting foreign investment to help raise voters' living standards.

Under the deal, international financial sanctions on Iran were officially lifted in January this year and yet it has secured banking ties with only a limited number of smaller foreign institutions.

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