Export Development Bank, ECO Development Bank establish credit lineMonday, Jan 08, 2018The ECO Trade and Development Bank and the Export Development Bank of Iran reached on a short-term credit line agreement with the aim of allocating EUR 25 million to Irans Exim Bank.
(SHADA: TEHRAN) -- The contract was recently concluded and is being implemented in order to finance export and import of goods and to attract foreign financial resources.
To use the facilities of the contract, there is no restriction on the export target country, and it is possible to export to all countries.
The credits can also be used to finance the import of related goods and services from ECO countries (Turkey, Afghanistan, Azerbaijan, Kyrgyzstan, Kazakhstan, Pakistan, Tajikistan, Turkmenistan and Uzbekistan).
The repayment period will be up to 12 months and its rate of profit will be agreed between the two banks.
According to the policies of the Central Bank of the Islamic Republic of Iran, the use of the above facilities is possible for the export of all goods, but their use to finance imports is solely possible for the import of essential goods, essential medicines, medical equipment (with a maximum refund period of 180 days), raw materials required for production units (with a maximum 360-day refund period), exclusively for the mainland and subject to obtaining approval from the relevant ministry.
Applicants for using the credit line can apply to the branches of the Export Development Bank of Iran or to the bank's international finance and investment authorities.