Italy and Iran will sign 5 billion EUR framework loan agreement to help Italian companies to invest in Iran. The agreement provides for the opening of credit lines for two Iranian banks by Invitalia, an Italian state-owned holding company, to finance investment projects by Italian companies.
The contract will be signed by the investment company Invitalia and two Iranian banks – the Bank of Industry and Mine and the Middle East Bank. Invitalia will open credit lines in both banks, and the Iranian government will secure the financing of the projects, the source added.
In a meeting between director of the Organization for Investment, Economic and Technical Assistance of Iran, Mohammad Khazaei, and Italy’s Ambassador to Iran Mauro Conciatori back in October, the two sides negotiated a finance deal for projects prioritized in Iran by concluding deals with Italian banks and financial institutions. They called for developing relations and deepening business, economic and investment ties and agreed that as part of further bilateral meetings and sessions, Iran and Italy would help prepare the ground for Italian financial institutions to enter Iran and finance domestic projects whose priorities will be decided by Iranian government entities.
Italy is Iran’s major trade partner in the European Union. Latest Eurostat data show that with more than 2.58 billion EUR worth of purchases, Italy was the main export destination for Iranian products in 2017. The figure shows a 315% hike compared with the corresponding period of 2016.