Repayment of National Development Fund facilities in foreign currency

Ali Salehabadi, Governor of the Central Bank, in the second conference of the National Wealth Fund and Intergenerational Justice, described the role of development funds in all countries as important and said: “A series of projects Have been implemented in recent years and have now reached the stage of repaying the installments of the National Development Fund. In the meantime, it is important to note that since the resources of the fund are foreign exchange, in principle, the installments must be paid in foreign currency.

He added: “Some people believe that according to the previous rule in the foreign exchange reserve account, foreign currency installments should be converted into rials, while of course this method of repayment has its drawbacks and the structure and systems of the fund are not possible now and should be acted according to its rules.” Be.

Referring to the cooperation between the operating banks and the National Development Fund, Salehabadi said: “The cooperation between the fund and the operating banks in collecting the fund’s claims can be important and the fund and the bank should be together.” Of course, we are aware that due to economic conditions and sanctions, some companies and recipients of the fund’s currency have problems, and the necessary assistance is being provided in this regard.

He stressed: “It is important that the bank and the fund jointly try to make payments in foreign currency and return the fund’s resources, because with the return of foreign currency resources will be spent on granting new facilities.” In this regard, it is necessary for all responsible agencies to help maintain the National Development Fund.

The head of the Monetary and Credit Council said that sometimes foreign exchange resources are used for projects that have similar domestic production. High and with foreign exchange earnings, the fund’s foreign exchange resources should not be spent on imports that have the potential for domestic production.

He stressed that the fund’s investments must be spent on projects that have foreign exchange earnings, because if these projects have foreign exchange earnings, the currency can be returned to the fund and these resources remain stable and in the cycle of investment and granting. New facility to be used.

Dr. Salehabadi, referring to the exception of some projects that do not have foreign exchange earnings and use the fund’s resources, said: “In some industries, foreign exchange income may not be available for any reason and its costs may not necessarily be foreign exchange, but except for infrastructure projects.” Be that as it may.

Saleh Abadi said: The role of the National Development Fund in Iran is important in some respects due to some restrictions, the National Development Fund in our country has found a more prominent role due to foreign restrictions mainly from 1390 onwards.

He said that the financial burden of many projects and investments in the past years has been borne by the National Development Fund. In return, part of the oil revenues will be transferred to the National Development Fund to enable the financing of projects from this fund.

He added: “Without this fund, many resources might have been spent on current expenditures, but the legal requirement to store part of the country’s revenues in the National Development Fund will create the capacity for important investment projects in the country from resources.” This fund will come to an end.

The Governor of the Central Bank, while thanking the colleagues of the National Development Fund and their efforts to protect and preserve this lasting wealth, added: “Holding such conferences and consensus to take the necessary measures to stabilize the fund and make it more effective in the economy is very important and valuable.” .

Dr. Salehabadi called for explaining the function of the National Development Fund in the economy and said: “We should try to carefully explain in general policies and laws how much oil revenue is deposited in the National Development Fund and what projects are spent.”

Emphasizing that by explaining the role and function of the National Development Fund, its importance will be clearer and more complete for the public opinion, he said: Explaining the role of the National Development Fund indicates that the country’s wealth should be spent on sustainable infrastructure projects. Be.

The second conference of the National Wealth and Intergenerational Justice Fund was held in the conference center of the Industrial Management Organization with the participation of the Vice President for Science and Technology, the Governor of the Central Bank, the Chairman of the Economic Commission, the Chairman of the Court of Accounts and a group of CEOs and economic experts. شد.