Economist forecast on Iran Economy growth is negative for 2019!
– In its latest forecast report, the Economist intelligence unit has predicted that Iran Economy will sink with a rate of -3.70% for the year 2019. The US sanctions along with its consequent lower oil sales are the main catalysts behind the nation’s falling GDP growth. Syria, mostly due to the end of its long-lasting civil war, will experience the highest economic growth in 2019. Below picture has the details:
– Iran Expediency Discernment Council finally ratified the anti-money laundering act and send it over the parliament for the purpose of signification. This was the second of 4 FATF related amendments that have been previously passed by the parliament. Up until today, two acts of anti-money laundering and terrorism financing have been ratified in line with the task force guidelines and analysts believe that the remaining rest would also pass the scrutiny of Iran conservative institutions.
– The head of the economic fraction of Iran’s parliament announced that this body has given the green light on redenomination of Iranian rial after all. According to Mohamadreza Pourebrahimi, Iran is ready to drop four zeros for its currency in order to make transactions easier despite the fact that this has nothing to do with the sky-high inflation and other fundamental problems of the economy. Previously the Central Bank of Iran unveiled the new design of travel checks (the below picture) that had the redenomination idea implicitly.
In the Market
Equities ended today with s slim gain and remained largely unchanged as investors did not react as expected to the hike of global crude prices. TEDPIX (+0.13%) jumped for a soft 208.52 point to close above 161K level while the sell-off in IFEX (-0.21%) was heavier and led to a decline of –3.91 points.
The surprising hike of crude oil on the other night’s market made the day for tickers of mid-weighted Oil Products (+2.82%) sector and almost all its components started the day with massive buy queues. However, the general bearish trend of the market made the demand to grow weaker throughout the end. Isfahan Oil Refinery (PNES, +3.48%) stamped 129.52 green points of the index followed by Bandar Abbas Oil Refinery (BNBA, +3.33%) and Tehran Oil Refinery (PTEH, +3.29%).
Agah analysis of the cash flow from the retail side shows that a good amount of fresh money has been injected into the market during the last trading week and all it takes is just a little push to make the best it. The ratification of another CFT related act along with the pressure being intact on the FX speculators made little room for the currency leverage of the market and investors shall turn their head to companies’ performance reports from now on.
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