Iranian government debt to banking system increases by 17%
Baku, Azerbaijan, June 23
By Fatih Karimov – Trend:
Iranian government's debt (including state-run companies) to the banking system has reached 1218.3 trillion rials (each 30,589 rials making one USD) by March 20.
The figure doesn’t include debts of government and state-run companies to Central Bank of Iran (CBI).
The figure was 1040 trillion rials at the same time last year, registering a 17.1 percent increase year on year, the CBI said in its latest report released June 23.
The government debt to the banking system witnessed a rise by 18.6 percent while compared to the end of last fiscal year (March 21, 2015) and stood at 1191.3 trillion rials.
Meanwhile the debts of Iranian state-run companies to the banking system stood at 27 trillion rials by March 20, 23.9 percent less year on year.
Iran's banking system has been struggling with bad loans in the past few years. Banks of Melli, Parsian, and Tejarat have the highest amount of bad loans in Iran.
The CBI report also indicates that the debts of Iranian banks and credit institutions to the central bank reached 836.1 trillion rials by March 20, 2.6 percent less year on year.