Title: New Policy Streamlines Access to Marriage and Childbirth Support Loans
In a significant move to bolster national family and youth population policies, the Central Bank of Iran has announced the finalization of a new mechanism aimed at expediting access to state-backed marriage and childbirth loans. Officials confirm that the new “Gam” welfare card system will be operational by the third Iranian month (Azar), offering a fresh alternative for thousands of applicants.
A Dual-Track System to Reduce Wait Times
The initiative introduces a dual-track system for beneficiaries. While the direct cash loan option remains in place and will be distributed based on each bank’s allocated quota, the new welfare card provides an immediate alternative. Eligible couples who wish to use their loan amount to purchase domestically produced goods can obtain the card starting next month, bypassing the current lengthy queues. The card carries the same favorable 4% service charge as the cash loan.
This development comes amid reports of over one million citizens currently awaiting these specific, interest-free (Qard-al-Hasan) loans. By the end of the sixth month (Shahrivar), over 291,858 marriage loans and 240,661 childbirth loans had been disbursed, yet hundreds of thousands remain in line.
Loan Structures and National Objectives
The loan structures are designed in line with the Family and Youth Population Support Law and the national budget. For the current year, a couple can jointly receive up to 600 million Tomans for marriage, with amounts increasing to 700 million Tomans if the bride is under 23 and the groom under 25. Repayment is structured over 120 monthly installments.
Complementing this, the childbirth loan program offers tiered financial support, encouraging larger families. The loan amounts increase with each subsequent child, starting from 44 million Tomans for the first child to 220 million Tomans for the fifth and beyond, with repayment periods extending accordingly.
Fiscal Prudence and Resource Management
Central Bank officials have underscored the careful balancing act required to fund these social programs. Sara Jalali, Deputy Head of the Central Bank’s Credit Operations, clarified that the banking network’s total capacity for all Qard-al-Hasan facilities this year is 375 trillion Tomans. Of this, 200.3 trillion Tomans are allocated for marriage loans and 53.3 trillion Tomans for childbirth support.
A key challenge is that these facilities must be drawn from current and Qard-al-Hasan savings accounts. However, as approximately 70% of these deposits are made with the express purpose of securing a loan, using all these resources for long-term, state-mandated facilities is not feasible without risking bank liquidity and stability.
“The new welfare card system is expected to reduce waiting periods for marriage loan applicants significantly,” stated Ms. Jalali, highlighting the government’s commitment to fulfilling its social obligations while maintaining the health of the financial system.