Central Bank of Iran Ties Lending to Rating Report

In a directive to banks and credit institutions, the Central Bank of Iran has obliged borrowers to submit credit rating reports from relevant rating companies. 
As per the bylaw, lenders must accept the rating letters issued only by a CBI-authorized company.  
Regarding the financial strength of rating companies, the CBI has set a minimum capital of 500 billion rials. 
The measure is said to be in line with the regulator’s oft-mentioned plan to reform the banking sector. As such, the latest move will likely tighten conditions on borrowers to receive loans.