Iran unveils details of loans paid off to industry sector

Business Materials 16 January 2018 13:00 (UTC +04:00)

Baku, Azerbaijan, Jan. 16‎

By Fatih Karimov – Trend:

The Iranian banking system paid over 1,060 trillion rials (Some $29 billion based on official exchange rate of $1 to 36,600 rials) in loans to industry and mining sectors during the first eight months of the current fiscal year (started March 20, 2017).

The figure indicates a rise by 14.7 percent compared to the same period of the preceding year, the country’s Industry, Mines and Trade ministry said in a statement.

Over 29.8 percent of the overall paid loans in the country went to industry and mining sectors.

During the 8-month period some 5,431 projects with physical progress of over 60 percent received 37,266 billion rials in loans from the country’s banking system.

Iran’s Esfahan province ranked first in terms of the number of projects, which received loans in the period. In this province 340 projects received 1,990 billion rials.

Meanwhile Alborz province received the highest value of the loans as 4,000 billion rials were paid to some 247 projects in the province.

Iran’s banking system paid ‎5,483.7‎ trillion rials in loans to various sectors during the last fiscal year (March 20, 2016 to March 19, 2017), 31.4 percent more than in the preceding year.

Iran has been struggling with bad loans over the past several years.

According to the Iranian ministry, over 47 industrial, mining and business investment proposals (worth $2.1 billion) were approved by Iran's Foreign Investment Board in the eight months. The value was $4.8 billion for 42 proposals during the 8-month period of the preceding fiscal year (ended March 2017), registering an increase by 11.9 percent in terms of proposals number and a fall by 56.6 percent in terms of approved foreign investment value.