Iran Bank Loans Top $100b in 10 Months

EghtesadOnline: Banks and credit institutions doled out more than 4.62 quadrillion rials ($102.66 billion) in loans to various sectors of the economy during the first 10 months of the current fiscal year to Jan. 20, the latest data by the Central Bank of Iran show.

News ID: ۷۸۱۸۴۲

24 February 2018

According to statistics published by the regulator on its website, the number indicates an 8% increase or 344.1 trillion rials ($7.62 billion) when compared with the same period of last year.

The figure was allocated in the form of more than 7.33 million loans while at more than 2.87 quadrillion rials ($63.77 billion), a majority of the facilities were given in the form of working capital to signify a 62.2% share.

The share of working capital loans registered a 5.5% increase equal to 148.7 trillion rials ($3.29 billion) when compared with the first 10 months of last year, Financial Tribune reported.

The services sector once again grabbed the lion’s share of more than 4.12 million loans worth 1.85 quadrillion rials ($41.11 billion).

The industrial and mining sector came second with 228,163 loans worth more than 1.34 quadrillion rials ($29.77 billion). This is while more than 1.13 quadrillion rials ($25.11 billion) or 84.7% of the loans allocated to the sector were in the form of working capital loans, indicating the importance of boosting businesses in the sector for the banking system.

The average figure of each loan for the sector was equal to 5.87 billion rials ($130,300) which is higher than the average figure of loans allocated to other sectors. For instance, the services sector’s facilities were handed out at an average of 450 million rials ($9,970) per loan.

The trade sector was third in terms of grabbing the highest share of the total banking loans during the period with 645,400 loans worth more than 809.58 trillion rials ($17.95 billion).

The housing and construction sector was on the receiving end of 806,557 loans worth more than 396.12 trillion rials ($8.73 billion) and the agriculture sector grabbed more than 379.06 trillion rials ($8,40) worth of facilities in the form of more than 1.36 million loans.

A total of 3,192 other loans worth more than 5.41 trillion rials ($120 million) were also handed out in the first 10 months of the current fiscal year.