Iran has issued credit cards for the first time. The credit cards are processed by global payment operator MasterCard. Financial branches of the ‘Iran Post Company’ across the country will distribute the cards.
Iran credit cards come with limits of approximately USD 3,000, USD 10,000 and USD 15,000 and can be used for purchases in shops or online. “It could take some time for banks to get used to the credit card system,” said Valiollah Seif, the head of the central bank of Iran. “It would be incorrect to think that these cards will be used quickly within the banking network,” she added.
The promotion of credit cards has been one of the main agendas of the government of Iran for months. Currently, Iran is striving to strengthen its oil production and economy following the lifting of sanctions against the Islamic Republic by world powers. This happened in January in return for Iran concurred with a deal to restrain its nuclear aspirations.
MasterCard Incorporated or MasterCard Worldwide is a multinational financial services corporation headquartered in Purchase, New York. Its principal business is to process payments between the banks of merchants and the card issuing banks or credit unions of the purchasers who use the “MasterCard” brand debit and credit cards to make purchases. The company was created by several California banks as a competitor to the BankAmericard issued by Bank of America, which later became the Visa credit card issued by Visa Inc.