The Central Bank of Iran (CBI) issued a directive on Sunday in a bid to support production enterprises in terms of financial and credit regulations, MNA reported.
The new directive exempts loan applicants from having to leave deposits. It also does away with a portion of the loans as collateral before banking facilities can be obtained.
It stipulates that “in light of the principles of Islamic contracts and interest-free banking rules, charging any interests prior to the allocation of loans shall not only question the interest-free nature of the loans but also hurts the credit policies already announced.”
The directive also calls for easy access of applicants to the information that clarifies the process of loan granting.
Under the new CBI directive, the enterprises in need of cash flow can apply for loans provided that the original amount together with the expected interest are returned within a specific period in the framework of relevant regulations, paving the way for the settlement of non-current receivables in the next stages.
The directive comes after a series of meetings held in September among the ministry of industry, mine and trade; the CBI; National Development Fund of Iran (NDFI); and the bankers, in an effort to facilitate financial and credit regulations for private enterprises.
Soon after the meetings, Mohammad Reza Nematzadeh, the minister of industry communicated the demands of manufacturers and craftsmen to the CBI governor for action.
