TEHRAN – The latest data released by the Central Bank of Iran (CBI) show that the country’s foreign debt stood at $9.031 billion at the end of the sixth Iranian calendar month of Shahrivar (September 22), down 1.2 percent from $9.142 billion at the end of the previous year, IRIB reported.

From the total foreign debt, $6.574 billion was mid-term and long-term debts while $2.457 billion was short-term debts, the data indicated.

Iran’s external debts stood at $8.84 billion at the end of the fifth Iranian calendar month of Mordad (August 22), down 3.3 percent from $9.142 billion at the end of the previous year.

External debt is the portion of a country's debt that is borrowed from foreign lenders including commercial banks, governments, or international financial institutions. These loans, including interest, must usually be paid in the currency in which the loan was made.

Foreign debt as a percentage of Gross Domestic Product (GDP) is the ratio between the debt a country owes to non-resident creditors and its nominal GDP.

Back in January, the former Deputy Minister of Finance and Economic Affairs Mohammad-Ali Dehqan Dehnavi had said the country’s foreign debts were very insignificant.

“Currently, the volume of Iran's foreign debt is extremely small due to the existing restrictions,” he said.

EF/MA