74389
$7.5b in Loans to for Industries
Economy, Domestic Economy

$7.5b in Loans for Iran Industries

The Iranian government is extending financial support to tackle industrial recession.
According to Minister of Industries, Mining and Trade Mohammad Shariatmadari, the government is providing 300 trillion rials ($7.5 billion) to renovate industrial units and promote production in the current Iranian year (ending March 20, 2018), IRNA reported.
This is while President Hassan Rouhani’s first administration (2013-17) pursued the same policy by allocating huge amounts of finance to reinvigorate low-functioning, half-idle factories.
In January 2017, it was announced that 20,000 industrial units had emerged from recession since March 2016.
“About 140 trillion rials ($3.5 billion) worth of loans have been granted to small- and medium-sized enterprises for their reactivation,” deputy industries minister, Reza Rahmani, said.
The loans were part of a stimulus plan prepared by the government’s economic team, based on which loans worth 160 trillion rials ($4 billion) were to be given to struggling SMEs in the industrial and agricultural sectors.
Sonya Pouryamin, an advisor to industries minister, said the government has also helped revive factories whose production had stopped.
Some 88,000 manufacturing units are active in 992 industrial parks across Iran, which account for 42% of all employment in the industrial sector.
It is estimated that 96% of these businesses are considered small- and medium-sized.
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.
According to the Central Bank of Iran, the “industry sector” expanded 6.9% last fiscal year—a remarkable improvement compared to the 4.6% contraction registered a year before.
The overall GDP growth for the period stood at 12.5%, including the growth in oil sector, and 3.5% without it.

Short URL : https://goo.gl/8JenUf
  1. https://goo.gl/sqZxZo
  • https://goo.gl/U2smUe
  • https://goo.gl/6iZESG
  • https://goo.gl/CzjuSU
  • https://goo.gl/BNiNjA

You can also read ...

Relations with banks from China, the UAE and Turkey had recently hit snags.
A senior Iranian official announced that there are no...
Forex ETS to Expedite Rate Unification
The Central Bank of Iran’s Exports Department has sought to...
Iran signed a $650-million contract with the world’s largest shipbuilding company Hyundai Heavy Industries Company in December for the South Korean firm to build four 14,400 TEU container ships and six 50,000 DWT product tankers.
South Korea was Iran's fourth biggest export destination (...
Production of  the plug-in hybrid Polestar 1, will be launched in mid-2019.
Volvo is creating a new electric vehicle brand that aims to...
Kerman Motor assembled 4,217 Hyundai cars during the first seven months of the current fiscal that ends in March 2018.
Local automaker Kerman Motor is trying to shift focus from its...
Gov’t Sends AML/CFT Amendments to Majlis
President Hassan Rouhani has presented two bills for making...
Gold Coin  Hits Record
Gold coin prices recorded multiple rallies in the past month...
100 Foreign Firms to Attend Iran Investment Forum
Some 100 companies from China, Germany, Denmark, Finland,...

Add new comment

Read our comment policy before posting your viewpoints

Image CAPTCHA
Enter the characters shown in the image.

Trending

Googleplus