Bad loans two times Iran's official stats

Bad loans two times Iran's official stats

By Dalga Khatinoglu

While Iran's CBI says the amount of bad loans stand at 1000 trillion rials, spokesman of Judiciary System put the figure two times more than CBI's statistics.

Each USD is sold at 35,000 rials in the open market, while the official rate of dollar against rial is 26,500 rials, then the amount of bad loan based on free exchange markets is about $51 billion and based of official rate is $75.5 billion.

The amount of bad loans reached about $51 billion in Iran, while the loan-to-deposit ratio in the country's banks on average is in the critical stage.

Gholamhossein Mohseni Ejei, the Spokesperson for the Iranian Judiciary announced Feb.19 that only half of debtors requested extending the deadline to pay off their debts.

The figure indicates above 30 times increase compared to nine years ago when ex-President Mahmoud Ahmadinejad took power.

The Central Bank of Iran has not published any updated statistics, but according to mid-2013 data released by the CBI, the total amount of bank deposits were $205 billion (based on official exchange rate), while the total loans amounted at $194.3 billion. Then the loan-to-deposit ratio was about 1.058.

The bad loan amount during last ten years based on CBI's report:

The main increase in bad loans occurred between 2010, mid-2014, a period when Iran's national currency dropped in value by 3.5 times.

Iranian government succeeded in decreasing the inflation rate from 36 percent to about 17 percent during Hassan Rouhani's presidency, started in mid-2013.


According to the report published by Fars News Agency in August 2014, citing an anonymous informed official, as well as Iranian official's frequently stated announcements, 67 percent, 21 percent and 11 percent of bad loans belong to those who owe above $400 million, $200 million and $30 million in debt to the banks respectively.

Range of issued bad loans

amount - billion dollar

number of individuals

Above $200 million



Above $40 million



Above $20 million



Above $4 million



Below $4 million



Sixty-two percent of bad loans belong to 988 individuals who have above $4 million in debt to the banks. Getting a loan above $4 million from a bank is impossible for ordinary people, but those who are involved in business, foreign trade, company shareholders, employers, etc. can receive loans of a huge amount.

One of the main reasons of existing bad loans is the worsening situation in the industrial sector, mostly affected by western sanctions aimed to curb Iran's sensitive nuclear activities.

During the 2012 and 2013 Iran's economy 5.8 percent and 2 percent contraction, while the country's GDP growth is expected to free itself from negative growth this year.

Seyed-Abrishami, Deputy Minister of Industries and Mines told ISNA in April that 5,400 industrial units in Iran have been inactivated, while 9,097 units (34 percent of total industrial units) in Iran are working under 50 percent capacity and 8, 269 units are working with above 70 percent capacity.

Under the circumstances, the paying back of issued loans for industrial sector activists is quite difficult, while the country needs immediately economic recovery after several years of stagnation.

Abrishami said that about 850 industrial units have had their assets ceased by banks due to bad loans, of which about 700 units became inactivated entirely.

Edited by CN

Dalga Khatinoglu is an expert on Iran's energy sector, head of Trend Agency's Iran news service.

Follow him on @dalgakhatinoglu

Kazakhstan's exports volume to Georgia increases multifold
Kazakhstan's exports volume to Georgia increases multifold
Kazakhstan’s daily COVID-19 case count stands at 1,584
Kazakhstan’s daily COVID-19 case count stands at 1,584
Turkmenenergo to sign new contracts with foreign companies
Turkmenenergo to sign new contracts with foreign companies
Loading Bars
Georgia increases export of marine mammals, fish fats, oils and their fractions to Turkey
S&P talks about Azerbaijan's GDP growth in 2022-2024
Turkey set to receive second vaccine shipment from China soon
Russia records over 21,100 daily coronavirus cases
Weekly review of Azerbaijani precious metals market
Kazakhstan's exports volume to Georgia increases multifold
Azerbaijan's strategic foreign exchange reserves increase year on year
Iran announces volume of sprat caught in Caspian Sea
Azerbaijan shares footage from Ashaghi Veysalli village of Fuzuli district (PHOTO/VIDEO)
Consumption of steel products in Iran increases
3 injured as blast hits vehicle in Kabul
Weekly review of Azerbaijani currency market
Georgia reveals data on exports of semi-finished products of iron or non-alloy steel to Turkey
Iranian companies join UN CTCN
Kazakhstan’s daily COVID-19 case count stands at 1,584
Weekly review of main events in Azerbaijan's transport sector
UK to quarantine visitors from nations with high COVID-19 risk
China rescues first person from Shandong gold mine: state media
Over 2 mln coronavirus cases registered in Colombia
Israel reports 4,550 new COVID-19 cases, 593,578 in total
Iran's Marun Oil & Gas Production Company manufactures certain equipment
Iran to begin COVID-19 vaccinations in coming weeks: President Rouhani
France registers 23,924 new COVID-19 cases, 230 deaths in one day
Turkmenenergo to sign new contracts with foreign companies
7.0-magnitude quake hits South Shetland Islands: CENC
Turkey reports 5,856 new COVID-19 cases, 2,424,328 in total
After first phone call, UK PM Johnson looks forward to working with Biden
UK records another 33,552 coronavirus cases, 1,348 deaths
WHO reports over 600,000 new daily cases of COVID-19
Azerbaijani, Turkish FMs discuss pirate attack on ship
Top Spanish general resigns over allegations of vaccination queue-jumping
Pirates hijack Turkish ship off coast of Guinea, one person killed
BMB Trade Group and Uzbek Saffron Research Center discuss saffron cultivation and processing
Trend TV shares video report from plundered during Armenian occupation Azerbaijani Zangilan
Belarus, Kazakhstan seek closer cooperation in exchange trade
Management of Azerbaijan's State Oil Company being improved - Decree
New staff of Azerbaijani SOCAR's Supervisory Board approved
Georgia's external merchandise trade down 14.8% in 2020
Turkey halts flights from Brazil due to new COVID-19 variant
Gas pressure in Iran's South Pars gas field projected to decrease
Iran's gas processing potential to increase
Portugal holds presidential election as COVID-19 cases spiral
Italy reports 488 coronavirus deaths and 13,331 new cases
Italy to rethink vaccine roll out if supply problems persist
US broadcaster, journalist Larry King dies aged 87
Russia signs deal with Turkey on vaccine production
Azerbaijani MoF issues footage from Kalbajar district's Gamishli village (PHOTO/VIDEO)
Manat exchange rate against dollar to remain unchanged - Standard & Poor's
Bahar Azadi gold coin price again falling in Iran
Azerbaijan considering issues of regional schools damaged during Karabakh War
Iranian Energy Exchange announces products to be on sale on January 24
State subsidy to increase from 10 to 15 GEL per 50 kg of wheat flour in Georgia
Goods transit via Iran's Bileh Savar on rise
Tax authorities of Kyrgyzstan, Russia discuss launch of joint project
Japan's COVID-19 death toll exceeds 5,000 as total cases surpass 360,000
Indian gov't confirms outbreak of bird flu
Azerbaijani president expresses condolences to Ukranian counterpart
Bulgaria to ease some COVID-19 rules, restaurants closed for now
COVID-19 vaccine delays may slow wider Irish roll-out, says PM
Azerbaijan confirms 705 more COVID-19 recoveries
WHO office in Azerbaijan discusses project on preventing deaths from COVID-19 pandemic
Uzbek-Korean Uz-Kor Gas Chemical to buy spare parts for water purifier via tender
Georgia increases import of vehicles from Turkey
Geostat reveals volume of ferroalloys exported from Georgia to Turkey
Iran oil export never reached zero - Iran's Oil Minister
Azerbaijani expert talks impact of recycling old cars on traffic jams
Weekly review of highlights in Azerbaijani ICT sector
Uzbekistan’s Uzpromstroybank reveals plans for strategic dev’t in 2021
WHO chief thanks India, PM Modi for 'support to global Covid-19 response'
Yukselish competition organizes webinar presented by Azerbaijani president's assistant (PHOTO)
Iran reveals COVID-19 data for January 23
Azerbaijan shares footage from Ashaghy Maralyan village of Jabrayil district (PHOTO/VIDEO)
Turkmenistan taking measures to further increase volume of cotton production
Iran to increase Shiraz municipality budget
Azerbaijani oil prices fall
Georgia sees decrease in COVID-19 cases
Russia reports 20,921 coronavirus cases over day, record low since November 11
Iran-Iraq-Syria transit route would improve economy - Iran's Minister of Road
Azerbaijan and Turkey ink MoU to support SMEs (PHOTO)
Karabakh's geography allows developing various tourism products - Azerbaijan Tourism Board
Standard & Poor's upgrades Azerbaijan's credit rating outlook
Georgian import of medical products from Turkey down
Uzbekistan reveals COVID-19 data for January 23
Brazil President Bolsonaro thanks PM Modi for 'sanjeevni booti' against Covid with Hanuman pic
India's COVID-19 vaccine diplomacy shines in South Asia and beyond
Cooperation on North-South Corridor to be researched during Iran’s FMA visit to Azerbaijan
First Batch of COVID-19 Vaccines Arrive in Myanmar from India
Iranian currency rates for January 23
Joint dev't of Dostlug field to be commercially, technically attractive - Wood Mackenzie
Socio-economic situation in Armenia deteriorating - Azerbaijani MP
AstraZeneca to supply 31 million COVID-19 shots to EU in first quarter, a 60% cut
Iran and Cuba to increase production capacity of COVID-19 vaccine
Iran and Russia to increase transportation ties
One Year to Special Olympics World Winter Games Kazan 2022
Azerbaijan producing lubricants based on new components
Azerbaijan to soon start issuing lump-sum subsidies to orchard farmers
Cancelling SMS permits due to eased quarantine raises passenger traffic in Baku
Turkey halts flights from Brazil due to new COVID-19 variant
COVAX to purchase 40 mln doses of Pfizer-BioNTech vaccine - WHO
Kazakhstan welcomes entry into force of Treaty on Prohibition of Nuclear Weapons
All news