CBI earmarks over $40 bln subsidized currency for imports

The Central Bank of Iran (CBI) says it has allocated some $40.405 billion in subsidized currency to imports of goods and equipment into the country in more than seven months to October 28.

News ID: 2000236

EghtesadOnline: CBI figures published on Monday showed that it had earmarked some $8.757 billion in heavily-subsidized currency to imports of basic goods and medicine over April-October.

The CBI has a rate of 285,000 rials per US dollar which it applies to basic goods imports.

That comes as the market price of the US dollar was 675,000 rials in Tehran on Monday.

Iran has a secondary rate for the US dollar and other hard currencies which it uses for trade of non-essential goods.

The price, discovered during daily trade at CBI’s Integrated Currency System, known by its Persian initials NIMA, was 504,450 rials per US dollar on Monday.

CBI figures on imports showed that the lender had spent $21.855 billion in NIMA rate on imports of commercial and trade commodities over the seven months to late October.

The bank said that it had allocated another $8.89 billion in the same rate to importers who had carried out exports to be able to obtain hard currency at subsidized prices.

Another $0.903 billion was spent on imports related to Iran’s services sector, showed the CBI figures.

The figures come as Iran is still under a regime of unilateral US sanctions which restricts it oil exports and its access to the international banking system.

The country has imposed controls on spending of hard currency for imports in recent years to be able to cope with the economic impacts of the sanctions. / Mehr