Accelerated programs prosperity

28 Persian date Mehr 1394 (20 October 2015)

Was approved at a meeting of the Council of Money and Credit

One thousand two hundred and eighth session of the Money and Credit Council, which was formed with the participation of all stakeholders, to discuss various issues regarding pay.

According to the public relations of the Central Bank of decisions of the meeting which was held on Tuesday, 28 October 94 are as follows:

1. "Executive order granting custody of employment services clients and their families" in paragraph (g) of clause 16 of the law passed this year's budget.

2. In order to contribute to the boom in the housing sector in relation to the improvement of the purchasing power of households and encourage savings, housing applicants, with the following was agreed:

  • Individual roof construction and purchase of housing facilities and facilities of the Fund's first savings bank in the normal population over 200 thousand people in all provincial capitals (excluding Tehran) extended.
  • By increasing the individual ceiling manufacturing facilities and purchase of housing from the top housing investment account in the ceiling of 600, 500 and 400 million rials respectively, in "Tehran", "provincial capitals and cities over 200 thousand inhabitants" and "other urban areas" was agreed.

3. In order to fulfill the objectives of the plan and hope to build momentum in the real economy and provide economic growth, protection of domestic producers and create a competitive atmosphere between them in the sale of local products accumulated in the warehouses and also in order to meet the financial restrictions and gradual reduction of interest rates, the Central Bank would be monitoring the inflation rate, through the intervention of inter-market expansion and provide the financial resources necessary to meet the liquidity problems of banks and guidance to the range of acceptable interest rates in line with inflation, policies and Common action is necessary. Accordingly, the following was approved:

  • Deposits of commercial banks and non-bank credit institutions are required reserve ratio in the range of 13-10 percent is determined. According to the rules issued by the Central Bank and the Council of Money and Credit by banks and credit institutions mentioned above will determine the scope of legal deposit them. Ratios set by the Central Bank in terms of the performance of banks and non-bank credit and the quarterly periods will be reviewed.
  • Other decisions of the Money and Credit Council on legal deposit ratio of banks and non-bank credit institutions to remain.
  • To buy documents from the sale of vehicles, agricultural machinery (tractors and combines) the amount of each device by the manufacturer to 250 million riyals (maximum 80% of the value of each unit) for up to 7 years at a rate of 16% by banks and non-bank credit institutions will and the Central Bank was also at the rate of 14 percent of the credit available to banks and non-bank credit institutions will be.
  • Lending to manufacturing enterprises by facilitating the purchase of religion (the discount demanded documents from installment sales product) by banks and non-bank credit institutions with an annual interest rate of 16% (funds required for the project is provided by the Central Bank at the rate of 14%) .
  • Giving loans to buy consumer durables and through the issuance of credit cards (based on Murabahah contract) for people who have certain income, up to a maximum of two years with repayment of 100 million.
  • Central Bank of the Islamic Republic of Iran in order to activate and develop the interbank market, in line with policies to support domestic production and exit from the recession and the gradual reduction of interest rates by granting credit lines with a grace period up to 7 years in the interbank market deposit with banks and non-bank credit institutions acts.

4. Money and Credit Council in the framework of Article 21 of the Law on Elimination of barriers to production, competitiveness and raise the country's financial system with the aim of helping businesses and in line with government programs to stimulate the economy, executive supervisor of the special account of funding working capital passed.According to these guidelines, a facility to provide working capital for sustainable economic units in the form of credit in the current account is in the hands of these units.