National Iranian Oil Company owes over $50B
Baku, Azerbaijan, Apr. 28
By Fatih Karimov - Trend: The National Iranian Oil Company owes over $50 billion, said Mansour Mo'azzami, the Iranian deputy oil minister.
He criticized the payment of cash subsidies by the Oil Ministry, saying that the ministry paid over $12 billion in subsidies in the past Iranian fiscal year, which ended on March 20, Iran's Shana news agency reported April 28.
The National Iranian Gas Company also paid $3.5 billion in subsidies last year, he added.
This money could be used to finance a number of semi-finished oil and gas projects, he said.
USD official exchange rate in Iran is about 28,000 rials.
Iran holds the world's third-largest proven oil reserves; this is while the country possesses the largest natural gas reserves estimated at 33.6 trillion cubic meters. Accordingly, it is determined to become the biggest petrochemical producer in the Middle East. With abundant investment opportunities available, Iran plans to invest a total of $500 billion in the oil sector by 2025.
According to the subsidy reform plan, the subsidy on food and energy is removed gradually, and the government allocates a portion of the amount saved to people and industry.
Edited by CN