News Agency - Detail

Iran to Issue $2 Billion in Sukuk Next Year, Allocates $100 Million in Facilities to Petchem Projects

Iran to Issue $2 Billion in Sukuk Next Year, Allocates $100 Million in Facilities to Petchem Projects
(Sunday, March 10, 2024) 12:54

TEHRAN (NIPNA) - The Deputy Minister of Petroleum and CEO of the National Petrochemical Company (NPC) announced plans to issue approximately $2 billion worth of hard currency murabeheh sukuk (Islamic bonds) next year aimed at developing the petrochemical industry. This was disclosed during the sidelines of the second specialized capital market working group meeting.

Morteza Shahmirzai, speaking at the event, also highlighted the allocation of $100 million in facilities to petrochemical projects.

He stated that around 125 petrochemical projects, with a total investment value of about $97 billion, are currently underway.

Shahmirzai emphasized the importance of aligning with the development path of the petrochemical value chain, noting that several projects in regions such as Mahshahr, Asaluyeh, Kangan, Parsian, Chabahar, and Qeshm have been proposed as hubs for Iranian petrochemical investment.

Furthermore, the NPC CEO outlined that petrochemical projects considered in the seventh and eighth development plans would be implemented, especially in the southern coastal areas.

Regarding the need for new capital investment in petrochemical development projects, Shahmirzai stated that the NPC has provided the necessary incentives.

He highlighted the resilience of the petrochemical industry amid economic challenges, making it an attractive investment destination.

Shahmirzai also discussed the ladder pricing discount law, which requires 40% of the income from petrochemical complexes benefiting from a 5% feedstock discount to be allocated to petrochemical industry development.

Moreover, he emphasized the importance of attracting new investment, revealing plans for issuing approximately $2 billion worth of hard currency murabeheh sukuk next year to support petrochemical industry expansion.

The NPC CEO noted that projects nearing completion and scheduled for operation next year could also access up to $100 million in facilities from the Central Bank if needed.

He underscored that any investment aimed at creating value-added is supported, urging for innovative ideas to attract funds domestically and internationally, contributing to the country's economy.

Email is required
Characters left: 500
Comment is required