Rates Banking and insurance in Iran

as of 2010, interest rate charged between banks (i.e. interbank rate) set government of iran (by iranian banking association council). in practice, because banking system of islamic republic run on islamic interest-free basis, there no interest rates per se provisional profit lending rates called mobadala.

official provisional lending rate (aka mobadala )

12.0% (2007), 11.5% (2008), 12.0% (2009). free market rate 24-25 percent (aug 2009).

deposit rates

as of 2010, private banks have acquired 11 percent of whole money market in iran.

* range given covers different interest rates offered different banks. in 2010, first time in annual policies, interest payable on bank deposits similar both state-owned , privately owned banks. example, overnight deposits’ interest has been reduced 12.5% last year 9% year. similarly, 5-year term deposits earn 17.5% (per annum) interest, opposed 19% previous year.

as of april 2014, maximum interest rate deposits of 90 days or less set @ 10 percent, maximum rate deposits of more 1 year set @ 22 percent, , other maturities cap set @ 14 18 percent.

in april 2015, central bank of iran reduced maximum interest rate 20 percent.

in june 2016, bankers agreed offer maximum 15 percent interest on one-year deposits, down previous 18%. rate short-term deposits set @ 10 14 percent.