Iran loans 200 million euros to Bolivia

Iran has extended a credit line of more than 200 million euros to Bolivia to help the industrial development of the South American country.

The agreement included the transfer of technology to Bolivia, Iranian Minister of Industries and Mining Ali Akbar Mehrabian said at a joint press conference with Bolivian President Evo Morales in the capital city of La Paz on Monday, the state-run ABI news agency reported.

The loan could fund mineral exploration and the development of the textile industry, although its use has no restrictions, Mehrabian said.

Morales said the loan was a sign of friendship and given without any conditions, adding that Iran’s aid was only the result of the two countries’ increased ties.

“We have an international relations policy with all countries and such a policy will continue strengthening our diplomatic, financial and cooperative relations in which we can acquire unconditional loans and credit,” he said.

Iran’s relations with Bolivia have greatly improved during Mahmoud Ahmadinejad’s government.

In August 2007, Iran pledged to invest 1.1 billion euros in Bolivian agriculture, industry, energy and humanitarian affairs.

The growing ties between Iran and Latin American countries, including Venezuela, Cuba, Nicaragua and Bolivia, have raised concerns in Washington, which has been trying to isolate Tehran over its nuclear program.