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Iranian Majlis allows ministries to settle $1.6 billion dues through bartering

Iran Materials 14 May 2012 13:17 (UTC +04:00)

Azerbaijan, Baku, May 14/ Trend F.Milad/

The Iranian parliament (Majlis) approved a bill allowing four ministries to settle up to 20 trillion rials (some $1.6 billion) of their dues to non-governmental legal and real entities through bartering.

The four ministries of oil, energy, roads and urban development and industry, mine and trade are allowed to settle their dues through giving collaterals and other banking mechanisms instead of cash to creditors, the Mehr News Agency reported.

On May 9 the Majlis began discussions on the general outlines of the budget bill for the current calendar year, which began on March 20.

President Mahmoud Ahmadinejad presented the administration's draft of the national budget bill for the current year to the Majlis on February 1.

The proposed national budget amounts to about 5.1 quadrillion rials (approximately $416 billion). The national budget for the previous year had envisaged about 5.39 quadrillion rials of expenditures.

The Integration Committee of the Majlis has approved that a dollar price be set at 12,260 rials in the current year's budget bill. The industry committee of the Majlis has also approved $85 oil price in drafting the bill.

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