Karafarin Bank was initially established as Karafarinan Credit Institute. It is the first truly privately-owned bank in Iran established since the 1979 revolution. Its shareholders are among the leading industrialists and contractors in Iran. The Institution was officially converted into a bank on January 1, 2001.Karafarin Bank is now in full operation offering all the services that state-owned banks provide. It reports to and is under the supervision of the Central Bank of Iran.