PZ 1507/1940 'UK-Persia: agreement to facilitate Persian purchases of material for defence and development' [‎7r] (15/24)

Si'CRg: T
Whereas the Imperial Iranian Government desire to purchase
in the United Kingdom of Great Britain and Northern Ireland
material necessary for the defence and development of Iran;
And whereas the Government of the United Kingdom of Great
Britain and Northern Ireland desire to facilitate such purchases;
Now, therefore, the Government of the United Kingdom of
Great Britain and Northern Ireland and the Imperial Iranian
Government have agreed as follows :—
Article 1.
The Government of the United Kingdom shall pay for the account
of the Imperial Iranian Government such sums not exceeding in
the aggregate £5 million sterling, as may be payable by the Imperial
Iranian Government under any contracts concluded or to be
concluded by that Government with the concurrence of the Govern
ment of the United Kingdom for the purchase in the United Kingdom
of material necessary for the defence and development of Iran.
Article 2.
The Imperial Iranian Government shall pay to the Government
of the United Kingdom in pounds sterling interest on each sum so
paid by the Government of the United Kingdom for the account of
the Imperial Iranian Government and outstanding from time to
time at the rate of four per cent, per annum payable half-yearly
on the twenty-eighth day of February, and the thirty-first day of
August of each year.
Article 8.
The Imperial Iranian Government shall repay to the Government
of the United Kingdom in pounds sterling the total principal amount
so paid by the Government of the United Kingdom for the account
of the Imperial Iranian Government, by means of annual instalments
payable on the twenty-eighth day of February in each year,
commencing on the twenty-eighth day of February next succeeding
the date when each such payment for the account of the Imperial