Iran has informed German financial regulator BaFin that it would be dropping its earlier request to repatriate the funds from the bank, German media, including Deutsche Presse-Agentur and Sueddeutsche Zeitung reported on Tuesday.
If transferred, the funds would have been the largest amount of cash ever removed from German coffers in the country's history.
On November 4, US sanctions against the Iranian energy sector, the country's ports, shipping industry, and foreign financial institutions doing business with Iranian ones are expected to go into effect. In the wake of Washington's looming reimposition of sanctions, China, India, Russia, and the European countries have scrambled to find ways to retain business ties with Iran, with the remaining signatories to the Iran nuclear deal looking to salvage it.