Esmail Mahsouli told Mehr News that the government had proposed changes in opening credit lines from Chinese financiers in Iran’s great projects especially in water and electricity. “Chinese sides have agreed to the changes proposed by Iran’s Central Bank, thus raising their quota in Iran’s projects to more than $52bn from its previous $25bn, which shows more than 100 per cent increase,” he added.

The deputy-minister said that Iran and China had already agreed on opening a credit line of $23bn, and with reforms proposed by government, it had been more than doubled.

“Government’s projects in energy sector including water, electricity, oil and gas, petrochemical sector, and other industrial and construction projects would receive Chinese finance; according to the last agreement, water and electricity projects will receive $1.5-2bn of Chinese credits,” said Mahsouli.

Ali Majedi, former deputy minister of oil for international affairs had already told Mehr News that China had agreed to invest $4-4.5bn in Iran’s petrochemical industries. “12 new projects in petrochemical industry would kick off using Chinese credits,” Majedi had told Mehr News.

Managing Director of Iran's National Petrochemical Company Abbas She'ri Moqadam had told reporters that due to financial restrictions, the second phase of Assaluyeh would also receive Chinese finance in order to resume operation.

Hamid Chitchian, Minister of Energy had told that China would invest in Iran’s water and electricity industry from Iran’s blocked $22bn oil incomes in Chinese banks; “the Ministry is a pioneer in attracting Chinese finance, and construction of two dams and a power plant is underway using Chinese investments,” he was quoted to have said before.

The minister also had announced Chinese line of credit in 8 projects of high priority in dam and power plant construction, estimating that a total of $17bn Chinese finance would open new horizons for Iran’s projects stymied by the severe lack of resources.

SH

MNA

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