Bank Saderat Iran Forex Business Up 74%

During the previous Iranian year (ended March 20, 2017), Bank Saderat Iran registered 74% growth in issuing foreign exchange guarantees and opening letters of credit, the bank’s CEO has announced.

“With almost 2,500 branches inside the country and 22 abroad, BSI has acted as the strong economic arm of the government by doling out over 253 trillion rials ($6.75 billion) in loans to sectors such as industries and mines, agriculture and other small- and medium-sized businesses,” Siavash Zera’ati was also quoted as saying by Banker.ir.

The official added that the main reason behind banking sanctions against Iran and their persistence has been the crucial role of banks in the country’s economic progress, although both state-run and private banks managed to overcome the difficulties through their tireless efforts.

The Iranian banking sector, in the absence of a developed capital and bond markets, is shouldering 80% of the financing in the country.

Saderat was subject to sanctions since 2010 and remained on the blacklist even after the lifting of sanctions in Jan. 2016 because of its alleged involvement in Iran’s nuclear program, but after Iran’s Foreign Ministry’s negotiations with foreign nations, the UK Treasury’s Office of Financial Sanctions Implementation announced that Britain removed its sanctions on Iran-based Bank Saderat, as well as London-based Bank Saderat PLC.

“BSI funded 89 major national projects during the previous Iranian year, providing 125 trillion rials ($3.3 billion) in loans–most of which will be come on stream in the foreseeable future,” he said.

Zera’ati also emphasized the necessity of bankrolling small- and medium-sized enterprises, recovering non-performing loans and working in tandem with the sixth five-year development plan–the country’s blueprint for 2017-2022.