Germany has suspended all export credits and investment guarantees for companies doing business with Iran as a measure against government’s harsh treatment of protesters.

The Economy Ministry said in a statement Friday that it was taking the step “in view of the very serious situation in Iran”.

It added that other “economic formats,” including a dialogue on energy issues have been suspended too.

Export credit guarantees protect German firms from losses if the exports are not paid for. Investment guarantees are given to safeguard direct investments by German companies from political risk in target countries.

The ministry further underlined in its statement that Germany Trade and Invest as well as the German business delegation in Iran had “reduced their activities to a minimum”.

The investment guarantees would be suspended immediately, according to the statement, but export credit guarantees will be placed on hold from January, and there would be some exceptions in case of a humanitarian need.

Trade guarantees with the Islamic Republic had been on hold for many decades but following the nuclear deal signed between Iran and the P5+1 group of countries they were lifted in 2016.

The trade volume between Tehran and Berlin was 1.76 billion euros ($1.87 billion) in 2021 and 1.49 billion euros in the first nine months of this year, the ministry said.