Speaking to NIPNA, Majid Reza Hariri
said, "The Chinese are ready to finance development projects in Iran,
including those in the petrochemical sector, if the Iranian banks can receive the
finances."
Hariri said China's finance is ready
for Iran and private and public sectors have the option to use it, but from
about $ 20 billion in new financing with China, the absorption rate is not
significant.
Describing the reasons for not
attracting China's finance in the projects by domestic and foreign developers,
he stated: "To use finances in each project, 15% of it must be provided by
domestic resources, and the average figure of $20 billion in foreign financing
is about $3 billion. There are limitations on domestic funding resources for
supplying this amount."
Hariri pointed out that for the use of
finances, domestic investors should be able to attract credit from Iranian
banks and secure collateral for the credits; for example, to attract $100
million, the project should secure $15 million in domestic funding and $85
million in collateral.