Banks and lending institutions have paid off 98.27 trillion riyals ($ 427 million) in marriage loans from the start of the current fiscal year in March to 8 June.
According to a press release from the Central Bank of Iran, 116,417 newlyweds received interest-free loans.
The CBI regularly publishes marriage loan data in response to criticism that banks refuse to provide loans to young couples, claiming they do not have enough funds.
Highlighting the urgency of prioritizing new couples’ lending, CBI acknowledged lending has slowed slightly in recent weeks as some applicants registered last year withdrew their applications and joined new applicants to be eligible for higher loan amounts under the new rules.
“The waiting list at the end of last year was 81,728 people. [March 20] and increased to 364,390 by June 8, ”the CBI said, noting that processing a large number of requests takes time.
Under the new rules, newlyweds are eligible for loans of up to 1 billion riyals ($ 4300). The new rules provide for an increase in loans by at least 40% – from the previous 500 million riyals to 700 million riyals per pair.
To encourage young people to tie the knot earlier, loans were doubled to 1 billion riyals per couple if the bride is under 23 and the groom is under 25.
Marriage loans are interest-free and must be repaid within seven years. Couples can apply for a loan up to a maximum of two years after their marriage is announced.
Bank loans rose to 430 trillion riyals ($ 1.8 billion) in the last fiscal year (March 2020-21), an increase of 65% over the previous year.
Marriage loans have increased in recent years for a variety of reasons, namely runaway inflation, economic problems in households, unemployment and declining living standards, which have pushed most young people away from starting a family.