Iranian state-owned banks Implement Corporate Governance!
– Following the implementation of Corporate Governance amid Iranian Brokerage Firms, directed by SEO, now the state-owned banks are to take proper measures to implement required frameworks in order to have a world-class risk management, AML and internal inspection-auditing processes. The ministry of economy and financial affairs is the executive body pursuing this matter communicated with banks already via a directive in the first step.
– The first VP of the President Rouhani administration has announced that a massive figure of USD 500 mn will be withdrawn from the National Development Fund of Iran in order to finance the shortcomings of Iran Pharmaceutical sector. This could have a game-changing effect on the nation’s pharma industry since most of the listed and unlisted tickers are struggling with lack of finance sources and deferred payments.
– Iran tax organization has announced that in order to support the production sector of the Iranian economy, the production tax for businesses will be reduced from 25% to 20% in the coming months. According to the stats, today 3.8% of budget revenues are from taxes and counting tolls as well, 50% of the nation’s revenues are from these sources.
In the Market
Major averages closed today at their flat line, a fitting situation after the other day’s stormy jumps; the benchmark index, TEDPIX, ended just 0.46% above the last close. The session began with a bang, however, sentiments soon shifted, prompting a slow and steady retreat from early highs. IFEX (+1.60%) performed a bit better and closed at 2,111.11 level.
On the earnings front, it is anticipated for a major part of listed companies active in Metals (-0.07%), Chemicals (+1.29%) and Iron Ores (-0.95%) to have higher than expected EPS changes since the rally of exchange rates would directly sit into their profitability statements. However, after the recent broadband fluctuations of the market, it is widely believed that from here on the market would be on a moderate positive path until the year-end.
Agah analyses show that during the previous session a figure of IRR 2,528 bn (USD 60.19 mn) has been injected into the market by the retail investors and has ended the withdrawal trend.
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