50 branches of Iran’s Keshavarzi Bank to stop operating
Baku, Azerbaijan, Dec. 13
By Elnur Baghishov - Trend:
Since the beginning of this Iranian year (started March 21, 2018), 40 branches of Iran’s Keshavarzi Bank have closed and 50 branches will be closed or merged by the end of the year, the bank’s Executive Director Rouhollah Khodarahmi said, SNN reported.
He said that the Iranian president has instructed the banking system to reduce bank branches and develop e-service program, Trend reports.
At the beginning of the year, Keshavarzi Bank had 1,888 branches in the country, while at the end of the sixth month this figure was 1,848, he noted.
“The Central Bank of Iran wants to reduce the management costs of banks,” he said. “Thus, these funds should be spent on crediting the country’s economy sectors. Therefore, branches that incur losses or which bring low revenues are either closed or merged with other branches.”
More than 90 percent of the reserves of Keshavarzi Bank are spent on the agriculture sector, he noted. In recent years, positive steps have been taken in the direction of allocating loans for mechanization of agriculture, implementation of irrigation projects, creation of greenhouses, plant growing and fish farming, he added.
Thus, these areas may play an effective role in ensuring food safety of Iran through production increase and achieving self-sufficiency, he said.