Regarding severing ties between Iranian businessmen and Bank of Kunlun, Beijing plans to set up a new banking mechanism to continue its financial and banking cooperation with Tehran, IRNA reports.

Iranian and Chinese experts have so far held various meetings to discuss developing the new system, reliable sources told in Beijing on Monday.

Meanwhile, Iran- China Chambers of Commerce and Industries in a meeting called for defining a new system in a way that problems of Bank of Kunlun will be solved.

Bank of Kunlun is affiliated with China National Petroleum Corp with limited exposure to the global financial system.