TEHRAN - The Central Bank of Iran has officially issued a directive to the national banking network outlining the procedures for providing Iranian rial-denominated bank cards to foreign tourists and non-resident individuals.

Under the new initiative, licensed banks and affiliated exchange offices are authorized to issue renewable, time-limited rial bank cards to foreign tourists, investors, businesspeople, and other non-resident individuals.

The scheme is aimed at facilitating financial transactions for international visitors during their stay in the Islamic Republic.

The value of these cards corresponds to the amount of foreign currency that an applicant deposits with a participating bank or exchange bureau, either inside or outside Iran, based on the daily agreed exchange rate. Any unused balance remaining at the end of the card’s validity period will be reimbursed at the same daily agreed rate.

Applicants must be non-resident foreign nationals over the age of 18. Each individual is eligible to receive only one such card. Banks can process applications through a variety of physical and digital channels, including bank branches, airport counters, ATMs, self-service kiosks, or other authorized service points.

Based on the guideline, the initial loading and subsequent recharging of the rial cards must be funded solely through the purchase of foreign currency or the transfer of foreign currency transfers from the individual applicant.

In addition, all transactions must comply with the detailed operational requirements outlined in the attached directive and can only be executed through the issuing bank or its affiliated exchange services.

The cards can be used for common banking operations such as purchases, fund transfers, ATM withdrawals, and utility bill payments. The transaction limits for these cards are set to match those established for domestic debit cards held by Iranian citizens.

The issuance of these cards comes amid ongoing international sanctions imposed on Iran which have restricted the use of international payment networks like Visa and Mastercard within Iran. Consequently, tourists often face challenges when trying to make electronic payments in the country.

By introducing these rial-denominated debit cards, the Central Bank aims to reduce the need for foreign visitors to carry large amounts of physical currency and enhance their freedom and flexibility in making everyday purchases and transactions.

It’s worth noting that the agreed exchange rates used in this system are typically lower than the open market rates for foreign currency.

The Islamic Republic expects to reap a bonanza from its numerous tourist spots such as bazaars, museums, mosques, bridges, bathhouses, madrasas, mausoleums, churches, towers, and mansions, of which 28 are inscribed on the UNESCO World Heritage list.

AM