– In a report published by international customs services (World Customs Organization), the hidden economy of Iran, aka Iran Smuggling status, has been analyzed. Data show that there is a wide gap between the figures stated by Iranian officials and international agencies.
– In a bold move that actually will impact saving accounts in favour of the capital market, the central bank of Iran obliged Iranian Banks to no longer pay daily interest on short-term deposits. This directive will be into effect soon and the interest payment base would change from daily to monthly. Moreover, Iranian Banks can no longer pay interest to accounts whose have withdrawal within the month of interest payment. CBI is now more decisive than ever to eliminate speculating activities on the nation’s banking sector.
– A member of the Iranian parliament announced details of government securities to be issued in the next fiscal year (2019/20 Iran Budget Bill) in order to finance national projects, settle the contractors’ outstanding liabilities and reimbursement of previously matured debt securities (interest and principal).
– After growing anticipations on Iran dedicated SPV, promised by EU members to circumvent US sanctions, now an English newspaper announced that Switzerland is to establish another dedicated finanicla line to ease Iran humanitarian imports (Food, Pharmaceutical and Medical equipment). This is a part what EU promised Iran after US unilateral withdrawal from JCPoA.
– For many years Iran had, and still have, the worst type of Energy Subsidies payments in the world which has only resulted in a weak and unbalanced economy for the nation (Iran Economy). The FOB price of petroleum hovers around 40 cents in the region and considering the domestic price of gas (IRR 10,000 – 10.52 cents!) it is clear that the Iranian government pays
– Following the concerns around the volume of money supply in Iran Economy, a new report by CBI shows that this figure surpassed IRR 16,930,000 bn (cUSD 178 bn – USD/IRR @ 95,000) on Sep-Oct 2018 with a growth of 20.70% contrary to the previous year. The share of the “money” (i.e. cash) part is IRR 2,420,100 bn while the “near money” consisted IRR 14,518,300 bn of the total amount (47.7% and 17.2% rise respectively). This adds up to the administration challenge meeting the 2019/20 budget plan bill as concerns over a widespread economic recession grow up.
– After admitting “fundamental reform” as a must-have factor in the Iranian economy, now experts speculating on how much resources it takes to revive Iran Banking Sector. As the CEO of one the best performing banks in Iran with regards to international standards, aka Middle East Bank, Parviz Aghili Kermani stated in an interview that based on the latest figures up to September 2018, it takes USD 101 bn (@ USD/IRR 88,000) to perform proper restructuring of Iranian Banks.
– Expected to be a new derivative, the future contracts on 30 blue-chips of Tehran Stock Exchange will be open to trade from December 16, 2018. These futures will be expired in March 2019 and can only be traded via online trading platforms. The underlying assets of this new derivative are stocks of 30 giants of TSE and IFB with the following details:
– In an attempt to keep up the nations oil sales after US sanctions and put out other rivals like KSA, Reuters claimed that Iran sells oil on massive discounts in an unprecedented event in over a decade. According to this news agency, Iran is willing to sell its light crude production, for delivery in January 2019, a dollar under the market price. Other products like Iran heavy oil can be traded $1.25 below KSA prices while this figure for Forouzan field crude hovers around $1.10.
– Following the seriousness of Iran Central Bank to organized the chaotic situation of banks, the head of CBI announced that like the mechanism utilized on the FX market lowering exchange rates in Iran Economy to more reasonable and stable levels, bank deposits interest rates would be maintained in a step by step plan. As for the first stride, banks are not allowed to pay +20% interest to depositors in any way. Banks who violate the rule will be penalised effective immediately.