CBI Taking More Actions towards Reform
Following the steps taken to restructure and supervise the banking sector, the Central Bank of Iran has now made setting up a compliance risk department compulsory. Being mentioned in Basel II Standards, this is aimed at identifying and controlling the risks arising from bending over regulations and agreements, both internal and international, and ensuring the hold of sufficient cash reserves to cover incurred risks by operations and therefore, saving the banks’ integrity and reputation.
Referring to the positive results of the previous forums, the head of Iran’s Monetary and Banking Research Institute announced the goals of the Fourth Iran-Europe Banking and Business Forum with representatives from England, Switzerland, Italy and France present; these are the investigation of the status of Iran’s banking sector and the occurred improvements in the post sanctions era followed by the consideration of concerns over the investment opportunities in the country. It is also focused on expanding correspondent relations, which has been started by launching new branches of Iranian banks abroad along old ones resuming their operations.
- In its unaudited financial statements for the period ended 20 March 2017, Kermanshah Petrochemical Industries has realized IRR 435 EPS; covering 89% of its estimates, this registers a 25% decline compared to the same period last year.
- In its General Annual Meeting for the period ended 20 December 2016, Iran Cultural Heritage Investment approved paying out IRR 200 dividend.
In the Market
Companies listed on the Food & Beverage sector attracted investors’ attention and some like Kalber Dairies, Pegah-e Azerbaijan Qqarbi and Behpak Industrial closed with buy queues. The rumor has it that a share block of Pegah-e Golpaygan Dairies (+0.21%) is to be divested to foreign investors soon.
Nearly the whole Automotive industry ended beneath their flat lines with Niromohareke and Zar Spring Mfg. losing more than 4%. It has been heard that Pars Khodro (-0.45%) and Saipa (-1.56%) are to positively adjust their EPS by 30% and 20%, respectively.
The whole Paper group finished in the green with Iran Carton and Pars Paper Industries closing with buy queues and Kave Paper Mfg. ending +3.4% higher. Paper producers are trying to convince the government to raise tariff to put a stop to excessive paper imports to the country.
Names in the Construction space went through positive movements, led by Fars Civil and Development (+3.61%). Shahed Civil and Development also closed with a buy queue. This positive atmosphere spread to the Cement sector, leaving them with buy queues, including Uremia Cement, Khazar Cement, and Shomal Cement.
Symbols in the Banking group went through rather balanced trades with 31.5 mn shares of Bank Hekmat Iranian being block traded in the retail market. The rumor had it that Bank Saderat ticker would be reopened today, which actually did not.
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