Federica Mogherini (L), High Representative of the European Union for Foreign Affairs and Security Policy, and Iranian Foreign Minister Mohammad Javad ZarifPicture copyright
Alexander Shcherbak / TASS / Getty

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Federica Mogherini (l) announced the EU plan alongside Iranian Foreign Minister Mohammad Javad Zarif (r)

The remaining members of the Iranian nuclear deal say they will set up a new payment system to maintain dealings with Iran and bypass US sanctions.

The system would make it easier for oil companies and companies to continue trading without relying on the US-led global market and the dollar.

How exactly the system will work is still being determined.

Earlier this year, President Donald Trump withdrew the US from the 2015 nuclear agreement and imposed sanctions.

The Joint Comprehensive Plan of Action, as the Atomic Deal is officially known, was negotiated by Barack Obama during the US Presidency.

It saw Iran limit its nuclear activities in return for sanctions relief.

EU foreign policy chief Federica Mogherini announced the plan after talks at the UN with the other members of the agreement – Britain, China, France, Germany, Russia.

A statement said they were determined to "protect the freedom of their economic operators to conduct legitimate business with Iran."

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Ms Mogherini said that the technical experts would discuss the details of the new payment mechanisms.

However, analysts doubt whether such a mechanism is feasible in the US, they could change their sanctions to include a new system.

Mr. Trump called the deal "one-sided," "catastrophic," and "the worst thing I've ever seen."

He believes that renewed economic pressure, which came into force in August, will force Iran to agree to a new agreement.

The value of the Iranian currency, the Rial, has been damaged by the new US policy.

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