Iranian industrialists receive $3B in bank loans

Business Materials 5 July 2015 16:06 (UTC +04:00)

Baku, Azerbaijan, July 5

By Fatih Karimov - Trend: Iranian industrialists received some $3 billion in bank loans in the past Iranian fiscal year, which ended on March 20, said Mohsen Salehinia, the Iranian deputy industry, mining, and trade minister.

Some $3 billion was paid last year to renovate and revamp industrial units and complete semi-finished projects, Iran's ISNA news agency quoted Salehinia as saying on July 5.

Although domestic production has not been in a good situation in recent years, but the government plans to emerge the economy from recession, he noted.

The government has prepared short-term plans in this regard to provide industries with their required working capital, he said.

The banking system has the capacity this year to pay 106,000 billion rials (about $32 billion) in loans, a 33 percent rise year on year, he added.

Meanwhile, Alireza Saleh, the deputy director of the Management and Planning Organization of Iran, has said that to complete the semi-finished projects in the country, as much as 4,000 trillion rials (about $120 billion) is needed.

Iran is forecast to reach six percent growth in the industry and mining sectors in the current Iranian calendar year (March 2015-March 2016), according to Iranian Deputy Industries, Mines and Trade Minister Hossein Aboui Mehrizi.

He said industry and mining sectors are the leading sectors in the national economy; therefore, their growth play significant role in the country's economic growth as well as gross domestic product (GDP) increase.