Iran allocates $3b to support production units

Iran Materials 25 June 2009 11:24 (UTC +04:00)

Industries and Mines Minister Ali-Akbar Mehrabian stated in Karaj on Wednesday that $3 billion has been allocated to domestic industrial and production units as their working capital.

"Although $5 billion has already been earmarked for the purpose, but this sum was included in the current year's national Budget Act to prop up domestic production," the minister added, IRINN reported.

The ministry has identified over 2,200 industrial units across the country grappling with financial deficit problem and proposed the government to extend their loan repayment periods by another year. The proposal has fortunately been approved, he noted.

Iranian First Vice President Parviz Davoudi has recently instructed a cabinet enactment to ban the importation of low-quality foreign-made products or products which the likes are manufactured domestically in order to support the country's economy.

The 11-article enactment obliges all the related ministries and organizations including the ministries of industries and mines, commerce, welfare and social affairs, finance and economic affairs, the Central Bank, and the state media, to avoid importing or advertising for foreign-made products which are also manufactured by domestic producers.

The Central Bank and the Ministry of Finance and Economic Affairs have been obliged to provide domestic industrial units with rial and foreign currency based lines of credit, according to the Mehr News Agency.