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to the ongoing inflationary effects of the severe devaluation of the Iranian rial, they have struggled to find buyers.
8.2 Central Bank policy
Iran’s central bank ‘preparing to issue cryptocurrency’
Central Bank of Iran creates framework for credit reference agencies
The Central Bank of Iran (CBI) is making preparations to issue a cryptocurrency, semi-official news agency Mehr reported a banking official as saying on September 1.
Ismael Lellahgani was cited as saying that the CBI by placing a virtual currency in circulation intended to cut money printing costs and reduce risk in domestic private sector electronic financial transactions.
For several months, the CBI has been working on permitting the processing of goods imports using domestically mined Iranian rial-based cryptocurrencies. In late April, the central bank approved import payments made in certain cryptocurrencies.
A new central bank decree outlines how Iranian cryptocurrencies for use on the market must be from miners authorised by the Ministry of Industry, Mines and Trade.
Moreover, authorised banks and foreign exchange outlets are only permitted to pay for imports in cryptocurrencies in accordance with CBI guidelines.
Iran puts to use cryptocurrencies in neutralising some impacts of US sanctions on Iranian financial transactions with the outside world.
The Central Bank of Iran (CBI) has published a set of rules on the creation of domestic credit reference agencies.
Previously in Iran, consumers had no way of verifying their credit worthiness due to the total removal of credit cards from the banking system and a limited direct debit system, which failed to build user profiles for potential loanees. Currently, potential loanees need to offer a property deed or another security deposit to obtain an offer of any form of credit.
The credit reference agencies that will be created are expected to analyse both individual and commercial creditworthiness by scoring clients as “very poor,” “poor,” “average,” “good,” or “very good,” in accordance with the CBI guidelines.
Final ratings will be generated after financial assessments are completed on the consumer, covering areas including “overall solvency”, “ability to repay” and “willingness to pay.”
The Iranian credit rating system will also include utility bill payments to national companies as part of the overall credit profile of the client. The CBI stated that if the customer has failed to pay bills previously, this will negatively impact their rating.
New credit checks would also be considered through other means including delays on repayments, punctuality regarding maturities, financial misconduct including bounced cheques and late tax payments.
Government and state organisations taking part in the creditworthiness process including the Tax Office, Judiciary, Central Insurance of Iran, Islamic Republic of Iran Customs Administration (Irica), the Ministry of Cooperatives, Labour and Social Affairs, and the police.
40 IRAN Country Report October 2021 www.intellinews.com