TEHRAN - Iran saw a 15 percent year-on-year increase in financing for small and medium-sized enterprises (SMEs) in the advanced industries sector during the first quarter of the current Iranian year, ending June 20, 2025, the head of the country’s Fund for Supporting Research and Development in Advanced Industries said.

Speaking to state media, Mohsen Naderi Manesh said the fund’s top priority for 2025 is to support small-scale private and cooperative enterprises in advanced industries and help them scale up to medium-sized businesses.

“In the first quarter of the year, the number of supported firms grew by 15 percent compared to the same period last year. Loan disbursement rose by about five percent, and the issuance of bank guarantees exceeded our projections by around 20 percent,” he said.

Naderi Manesh expressed hope that by the end of the year, up to 20 percent of small firms will have grown into mid-sized businesses through financial assistance from the fund.

The fund currently provides an average of one trillion rials (roughly $2.0 million) in financing to firms each month, translating to 12 trillion rials (approximately $24 million) annually. Naderi Manesh noted that demand typically rises toward the end of the year, while the early months see less activity.

“In the first quarter alone, more than 1.2 trillion rials ($2.4 million) in financing was disbursed, marking a seven percent increase over the same period last year,” he added.

He projected 3.0 trillion rials ($6.0 million) in financing for the second quarter, 3.5 trillion rials ($7.0 million) for the third quarter, and over 4.0 trillion rials ($8.0 million) in the final quarter of the year.

Naderi Manesh also highlighted upcoming support for artificial intelligence, stating that the fund is set to allocate 3.50 trillion rials ($7.0 million) to AI initiatives in collaboration with the Vice Presidency for Science and Technology.

“In addition to our own resources, we’re working with the Industry Ministry, banks, and the capital market to mobilize more than twice that amount for AI-focused enterprises,” he said.

EF/MA