ITB to Push Iran Capital Market Forward
- The Cabinet members allowed the Ministry of Economy and Financial Affairs to issue Islamic Treasury Bills worth IRR 145,000 in order to settle the government debt to contractors and take an actual step toward developing financial instruments in the market and discover the expected risk free return of Iran economy, aimed at deepening Iran Capital Market . This amount includes IRR 85,000 bn ITB with up to 1-year maturity and IRR 60,000 bn ITB, purchasing power reserved, to be matured in 2-years. Improving monetary and financial policies to apply optimal measures controlling the FX market, finding out forex market expectations of risk free rate for different maturities and tax exemption are among the other advantages of issuing ITB.
- The Central Bank of Iran’s statistics show that the Producer Price Index stood at 231.1 at the end of Azar month (21 Nov- 20 Dec), registering a 2% rise in comparison with the month before. This totally explains the 8.6% increase in the CPI for the same period. In addition, keeping the 4% economic growth which mostly comes from the oil sector in mind, the administration spokesman announced the 4.5% growth for the non-oil economic sector within the first 6 months of the current year, whose details will be released in the upcoming days.