960 industrial units in Iran turn operational in 4 months

Business Materials 12 August 2016 18:49 (UTC +04:00)

Tehran, Iran, Aug. 12

By Mehdi Sepahvand – Trend:

In the past four months, 530 new small industrial units came on stream, while in the same time 430 other units, which had gone idle, were put back on track.

According to a governmental plan, 12,000 industrial units are to resume operation by the end of the current Iranian fiscal year (March 20, 2017), said Ali Yazdani, CEO of the Iranian Small Industries Organization, IRNA news agency reported Aug. 12.

There are 88,000 industrial units, 84,500 of which fall in the category of small units. Many companies were bankrupt in the past few years either due to economic sanctions that crippled the Iranian economy or because of mismanagement at the governmental level.

In early July, the government announced that 29,599 companies had signed up for governmental facilities that were aimed at reviving bankrupt industrial units. It said that 6,940 of the applicants had been referred to banks to receive loans.

The volume of annual investment in the industrial sector of the Islamic Republic surged by 19.5 percent over the last Iranian calendar year that ended March 20, the country’s Central Bank suggested in its latest statistics.

Some 1160.7 trillion rials worth of investment was made in the country’s industries in the mentioned period, the Central Bank of Iran said.

Over the last Iranian year, the number of permissions issued for launching industrial units decreased by 11.9 percent year-on-year, reaching 14,844 permissions.

This is while in the winter (Dec. 21, 2015 and March 19, 2016) 371 trillion rials worth of investment was made in the industrial sector, indicating 179.4 percent growth year-on-year.

This period was the first quarter of year that fell in the post-sanctions era.