Title: Government Enforces Financial Compliance on Banks to Uphold National Housing Initiative
Regulators Take Action to Ensure Bank Participation
In a decisive move to reinforce the National Housing Movement, regulatory authorities are implementing financial penalties against banks that have failed to meet their legally mandated lending quotas. According to Habibollah Taherkhani, Deputy Minister of Roads and Urban Development, the National Tax Administration is now actively monitoring bank performance and issuing fines based on real-time data from the initiative’s loan system.
A System of Accountability and Transparency
The Deputy Minister emphasized that the specifics of the fines, including their amounts and the exact process, fall under the exclusive purview of the National Tax Administration. He clarified that the tax organization is directly linked to the National Housing Movement’s loan portal, allowing it to oversee bank contributions on a live basis and apply legal penalties accordingly.
“This process is based on precise data,” Taherkhani stated, “ensuring that the enforcement is both fair and accurate.”
Substantial Commitments and Ongoing Oversight
The government’s initiative has already seen significant financial engagement from the banking sector. Reports indicate that banks have committed 236 trillion tomans to the scheme, with approximately 122 trillion tomans already injected into contracted projects.
The legal framework, specifically Article 4 of the Law to Boost Housing Production, mandates that 20 percent of bank facilities must be allocated to the housing sector. The Central Bank has issued the necessary quotas and directives to all banking institutions to ensure compliance.
“The banking system has generally acted in accordance with its commitments over the years,” Taherkhani noted. “Our oversight relies on both bank self-reporting and controls by provincial administrations.”
Ensuring Uniform Compliance and Protecting Public Interest
Addressing reports of some banks filing complaints with the Administrative Justice Court, the Deputy Minister affirmed the government’s commitment to a uniform standard for all financial institutions. He explained that while banks are entitled to present their cases, the principle of equal obligation is non-negotiable.
“The conditions are the same for all banks,” he asserted. “It is not acceptable for some to fulfill a major part of their commitment while others show no performance.”
The Ministry of Roads and Urban Development is in continuous dialogue with the Administrative Justice Court and the Tax Administration to provide accurate information, ensuring comprehensive and correct decision-making. While a limited number of differing court opinions have been issued, Taherkhani confirmed that through cooperation with the tax authorities, the rights and interests of the people remain the top priority.