Economy, Business And Markets

IME to Finance Incomplete Projects

IME to Finance Incomplete Projects
IME to Finance Incomplete Projects

Iran Mercantile Exchange is planning to establish Project Funds aimed at financing over 2,900 incomplete projects across the country, said a deputy at the exchange.

Ali Panahi, the deputy for market development and economic studies at the IME, said, officials at the ministry of economic affairs and finance have finalized their conclusions with the Tehran Stock Exchange to run the funds.

Panahi pointed to the government’s incapacity to finance all the incomplete development plans launched by the former Ahmedinejad administration and said the Project Funds would help complete the projects.

“A considerable portion of the government budget has been stuck in these incomplete projects. In addition to financing these incomplete projects, the funds will also create a boom in the stock market”, Panahi said.

On Tuesday, the vice president for strategic planning and supervision said the government inherited 2,906 unfinished development projects. Mohammad Bagher Nobakht also said considering the restrictions in financial resources, the government is determined to use cooperatives and the private sector’s capacities to accomplish the projects with less than 50% progress.

The VP further estimated that between 2 and 4 quadrillion rials (between $37.5 billion and $75 billion) is needed to finish all the incomplete projects, adding that in budget allocation, the priority was given to those projects with over 80% progress.