Corporate News & Business
Talks underway for producing aircraft parts (Financial Tribune, 17 April 2017)
Iran is in talks with France-based plane manufacturer Airbus and pursuing a joint venture with Italy’s ATR to domestically produce aircraft parts, said Iran’s Vice President for Science and Technology Mr. Sorena Sattari, who added that they are currently finalising a list of spare parts which are to be jointly produced by Iran and Airbus.
Iran-Pakistan trade volume expandable to $5bn (Mehr News Agency, 17 April 2017)
Iran’s Interior Minister Mr. Abdolreza Rahmani Fazli, the Iranian chairman of the 20th session of the Iran-Pakistan Joint Economic Commission which opened in Tehran on 17 April 2017, said the volume of transactions between the two countries has the capacity to increase up to US$ 5 billion in various economic, trade, tourism and energy fields. In this session, the two countries will follow up on the implementation of agreements reached during the 19th session of the economic commission held in Islamabad in December 2014. Grounds for expansion of economic, trade, commercial and banking cooperation will also be discussed.
TCCIM to host German, Austrian business delegations (Financial Tribune, 17 April 2017)
Tehran Chamber of Commerce, Industries, Mines and Agriculture (TCCIM) is scheduled to host a trade delegation from the German state of Bavaria in the Iranian capital on 1 May 2017 and an Austrian delegation on 8 May 2017. The visiting delegation will consist of representatives of German companies active in the fields of electronics, electrical engineering, health, food, agriculture, exhibition services, investment consultancy, risk management, environment, industrial machinery, oil and gas.
Finance
CBI denies e-banking monopoly (Financial Tribune, 17 April 2017)
The Central Bank of Iran (CBI) is against monopolising electronic banking and supports banks or entities that provide efficient services, CBI Governor Mr. Valiollah Seif said. Ayandeh Bank-affiliate eFarda, Bank Melli Iran’s electronic banking platform BAM, Bank Refah’s comprehensive financial management system SAMIM and Shahr Bank are currently some of the active players offering electronic banking services to Iranians. The CBI will not establish mobile payment through telecommunications companies “but will do it through the cloud and we will probably unveil the start of mobile payment in the country next week added Mr. Seif.
CBI says cash injection only supports production, job creation (Financial Tribune, 17 April 2017)
The Central Bank of Iran (CBI)does not prioritize cash injection into the market, but only to help the banks support production and job creation, Head of the CBI Economic Office Mr. Abolfazl Akrami said. He noted that the CBI is not going to increase the monetary base as long as possible and “if we manage to resolve the banking issues, they will be able to support production and employment. While calling on people to buy Iranian products, Mr. Akrami also suggested that manufacturers and producers increase the quality of their products to be able to compete with foreign rivals.
Foreign investors eying Iranian insurance firms (Financial Tribune, 17 April 2017)
President of the Central Insurance of Iran (CII) Mr. Hemmati said that a couple of foreign insurance companies are determined to invest in Iran in the next two or three months. He noted that domestic firms need to prepare their financial statements in accordance with new standards so that they can be reviewed by foreigners. Mr. Hemmati stated that experts of these foreign companies have assessed the financial statements of a number of Iranian insurance companies and they seem determined to expand their ties with Iran. The CII president announced that currently the global average of insurance penetration rate is 6%, with life insurance accounting for 3.5% of the figure. Excluding life insurance, the penetration rate of insurance is about 2% in Iran.
Mining bank proposed (Financial Tribune, 17 April 2017)
Head of Iran’s Mining House Mr. Mohammad Reza Bahraman announced that the proposal for establishing a bank dedicated to the mining sector with a capital requirement of 6 trillion rials ($160 million) will be sent to the Central Bank of Iran. He noted that the private sector is ready to launch the bank and provide the capital requirement as soon as the Money and Credit Council approves it and the necessary licenses are issued.
Oil & Gas
30 new petrochemical projects to become operational by 2018 (Mehr News Agency, 17 April 2017)
Deputy Oil Minister and Head of Iran’s National Petrochemical Company (NPC) Mrs. Marzieh Shah-Daei said that 30 new petrochemical projects worth US$ 40 billion will come on stream by the end of the next Iranian calendar year (to end March 21, 2018) within the 6th National Development Plan. She added that Iran is among few countries who enjoy access to feedstock, international markets as well as proximity to water resources, saying that as a result, Iran’s petrochemical industry is to turn into a front runner to attract foreign investment. Mrs. Shah-Daei recalled that for Morvarid, Takhte Jamshid, Entekhab and Kavian petrochemical complexes, respectively US$ 300, US$ 70, US$ 200 and US$ 313 million of foreign investment were made – a total of US$ 883 million that have increased the country’s output by two million tons. he noted that, in addition to completion of ongoing projects in the Fifth National Development Plan, 25 new projects will come on stream in the present year.
