Banks Surplus Property System creates transparency

The Minister of Economy described the launch of the system as a major step in freeing up banks resources to provide more facilities and to boost production of goods and services.

(SHADA: TEHRAN) -- The Banking System Reform Implementation Plan which I presented has been one of the issues highlighted by the Supreme Leader and President, Farhad Dejpasand said.

The reason for banks increasing their ownership of assets is their loyalty to depositors and safeguarding Bayt al-mal, meaning depositors expect banks to do their best to protect and safeguard their assets, he stated.

Banks are obliged to provide financing and, on the other hand, manufacturing sectors need to obtain these funds and convert them into profitable moves so that they can return the resources along with their profits to the bank, but if the process is disrupted, both sides will be in trouble, Dejpasand stressed.

The best thing for banks is that the recipient or economic activist uses the resources in such a manner as to repay it on time, he added.

After applying for possible assistance, banks will first issue warnings and then take possession, so it is not true that banks are trying to claim assets, Dejpasand said, adding: Of course, the participation of banks themselves, both private and public banks, in setting up the banks surplus property system shows that bank managers are reluctant to do so.

The Minister noted that the system is not for all banks' surplus assets, but for more than 17 trillion tomans and includes only real estate and proprietary assets.

Fortunately, since last year, when Dr. Rouhani has made reforming the banking system a top priority for the ministry, more than 7 trillion tomans worth of bank surplus assets have been ceded, of which about 4 trillion tomans are in stock and 3 trillion tomans are surplus, he continued.

Of course, this is not just about selling surplus property, but it is also possible to cede management and participate in the launch of more than 1246 factories, 277 livestock units and so on, Dejpasand noted.

This is in the interest of the country's economy because it will restart stagnant businesses, create jobs and increase production in the country, he added.

The Minister of Economy cites transparency as one of main goals of launching Banks Surplus Property System and said: Anyone can now access the bank's surplus property information and even buy them or take part in their management.

Dejpasand went on to emphasize that not a single rial of the proceeds from the bank's surplus would be deposited into the government treasury, and stated: All resources released belong to the operating bank itself, and the only purpose is to flow resources to create a productive boom in the country.

He further stated that about 50% of the property sold in the Banks Surplus Property System belongs to Bank Melli, Mellat, Keshavarzi and Saderat.

The Minister of Economy described the design and launch of the Banks Surplus Property System as a result of the partnership and cooperation of the Ministry of Economy and the state-owned and private banks, expressing hope that in the near future we will see positive results in this joint venture.