Bank Sepah
Bank Sepah is a state-owned Iranian bank headquartered in Tehran, providing retail, corporate, digital, payment, guarantee, treasury and trade-related banking services. Founded in 1925, it operates a nationwide branch network and has maintained selected international operations. The bank is commercially significant for access to Iranian payment, lending and institutional banking channels, while sanctions-sensitive exposure is central to counterparty assessment.
Market position
Bank Sepah is one of Iran’s longest-established banks and operates a large domestic branch network. It absorbed Ansar Bank, Mehr Eqtesad Bank, Hekmat Iranian Bank, Ghavamin Bank and Kosar Credit Institution in the early 2020s.
Operations & footprint
Products and services
Bank Sepah provides retail banking, corporate banking, deposits, loans, card services, digital banking, payment services, guarantees, trade-related banking, foreign-exchange-related services, treasury services, and financial services for individuals, businesses, public-sector customers, and institutional clients.
Operations and assets
The bank operated 1,766 domestic branches in Iran as of 2023. Its international presence included branches in Paris, Rome and Frankfurt, alongside Bank Sepah International plc in London.
Geographic footprint
Headquartered in Tehran, with a nationwide Iranian branch network. International operations have included branches in Paris, Rome and Frankfurt, and a London subsidiary.
Ownership & group structure
Ownership
State-owned bank.
Subsidiaries and group companies
Bank Sepah International plc, London (wholly owned).
Commercial and investment relevance
Bank Sepah is relevant for investors assessing state-bank exposure, credit access, public-sector finance, money movement, payment infrastructure, and sanctions-sensitive counterparty risk. It can support analysis of where formal banking services remain available, how state-linked banks serve companies and households, and how disruptions affect transaction continuity. Due diligence should include sanctions screening, cyber-risk review, service reliability, regulatory standing, transaction limits, correspondent-banking constraints, and verification of any direct or indirect commercial relationship. For buyers, suppliers and operating partners, Bank Sepah is a channel for local account services, lending, guarantees, card payments and trade-related banking in Iran. Engagement requires careful assessment of transaction routing, permitted services and counterparty eligibility.
Constraints, risk & compliance
Key risks and constraints
The integration of five financial institutions in the early 2020s adds operational complexity across systems, branches and customer relationships. Cross-border banking activity is constrained by limited international financial connectivity and can affect settlement, guarantees, foreign-exchange-related services and transaction continuity.
Sanctions and compliance considerations
Bank Sepah is a sanctions-sensitive counterparty. Any proposed relationship, payment flow, trade-finance arrangement or involvement of its overseas operations requires transaction-specific sanctions and export-control screening.
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Frequently asked questions
Direct answers to the questions most likely to arise when reviewing this profile.
What services does Bank Sepah provide?
Bank Sepah offers retail and corporate banking, deposits, lending, card and payment services, internet and mobile banking, guarantees, treasury services, foreign-exchange-related services and trade-related banking.
Where is Bank Sepah headquartered?
Bank Sepah is headquartered in Tehran, Iran, at Negin Sepah Building on Dadman Street near Argentine Square.
Is Bank Sepah state-owned?
Yes. Bank Sepah is a state-owned Iranian bank.
What should counterparties consider before dealing with Bank Sepah?
Counterparties should assess transaction routing, service availability and sanctions or export-control requirements for the specific relationship, payment flow or trade-finance arrangement.