Bank Penalty Waiver Extended

A directive has been issued for the current fiscal year (started March 20, 2016) to extend the penalty waiver for loans fewer than 1 billion rials ($31,400) for the coming fiscal year too, announced the spokesman of Majlis Joint Commission, reports Banker. According to the measure, all fines and penalties pertaining to the interest on loans below 1 billion rials ($31,400) will be forgiven for debtors who return the principal amount of their loans to banks in the next fiscal year.”The interest on loans will be reimbursed to lenders from the revaluation of foreign exchange resources of the Central Bank of Iran and the fines will be forgiven,” Mohammad Mehdi Mofatteh added. “The measure is in line with increasing the lenders’ capital, recapitalizing state-owned banks and settling government debts.”