Economy, Domestic Economy

$167m in SME Loans

$167m in SME Loans$167m in SME Loans

Banks have lent six trillion rials ($167.3 million) to 7,500 small and medium sized factories so far this year, according to Mohammadreza Nematzadeh, the minister of industries, mines and trade.

This is about a third of the total of 16 trillion rials ($515.3 million) worth of loans that the government has said it will allocate via the banks to SME’s by the end of the current fiscal year in March 2017. By definition, enterprises run by 100 workers or less, and 50 workers or less are considered small- and medium-sized respectively, according to Iran’s Small Industries and Industrial Parks Organization. It is estimated that 96% of the 88,000 licensed Iranian businesses are considered small- and medium-size, providing 42% of the jobs in the industrial sector.