Economy, Business And Markets

Restrictions on Iran Zamin Bank Removed

Restrictions on Iran Zamin Bank Removed Restrictions on Iran Zamin Bank Removed

The Central Bank of Iran lifted a ban on one billion rial checks issued by Iran Zamin Bank, allowing the lender’s checks to be processed in all bank branches across the country.

In early February, the CBI banned the acceptance and processing of over one billion rial checks of three private banks including Ayandeh, Sarmayeh and Iran Zamin. After a few days, the limit for Ayandeh, which was among the unauthorized banks at the time, was reduced to 100 million rial checks.

The ban was enacted on the three private entities due to their high amount of debt to the CBI, media reported.

In the ending days of the last fiscal year (which ended March 20), the ban on checks issued by Ayandeh and Sarmayeh was completely removed, but the restriction continued to persist on Iran Zamin Bank, whose CEO Kamal Seyedali immediately reacted criticizing the CBI’s ruling as “unjustified”.

There are now no restrictions against checks issued by commercial banks. Among financial institutions, however, Tose’e’s one billion rial checks are still banned from being processed in the national banking system.