– A new issue of Islamic Treasury Bills offered today on Iran Fara Bourse to complete another piece of government debts settlement. TB131 priced at IRR 921,030 and will be matured in a year. The YTM and BEY of this new securities are 16.5% and 15.6% respectively.
– Head of the Economic Commission of the Iranian parliament announced the bill releasing justice shares for trades on Tehran Stock Exchange will be notified on the next public hearing of Majlis anytime soon. “We are against distributing earnings of justice shares and principal asset along with the equity ownership shall be in hands of shareholders themselves” Said Pourebrahimi on a radio interview.
– Yesterday more than 129,000 tonnes of petrochemical and oil products including Vacuum Bottom (VB), Lube Cut, Sulfur, Slap Wax, Polymer and petrochemicals were offered on Iran Mercantile Exchange. Moreover 11,700 tonnes of natural bitumen were traded on export floor of IME as well.
– “Total amount of traded Iron Ore reached 924,000 metric tonnes YTD on Iran Mercantile Exchange with a whole value of IRR 880 bn.” said Hamed Soltani Nejad the CEO of Iran Mercantile Exchange. He continued: 90% of Iran’s exports were shipped to China over the current fiscal year, although the lower demand on the foreign side made Iran’s shipments to feel some constraints.
– In a press conference, the Head of the Securities and Exchange Organization (SEO) of Iran briefed the measures taken along with the progress made in the recent past in Iran capital market.
– Announcing the IRR 20,000 bn worth of foreign investors trade value in Iran Capital market, the Vice-Chairman International & Foreign Investment Affairs at the Securities and Exchange Organization (SEO) of Iran added that a huge part of this money has entered into Iran’s debt market.
– Following the settlement process of Iranian government debts to industry sectors, today a new issue of ITBs worth IRR 19,000 bn (cUSD 451.3 mn) offered to public on Iran Fara Bourse under the ticker name of TB141. The securities have no coupon payments and will be issued at a discount to par. The below table demonstrate different scenarios for the pricing and YTM. However, the new T-bills priced at IRR 891,274 on Iran Fara Bourse today which led to a yield to maturity of 17.04% and a BEY of 15.84%.
– Recent stats revealed by Securities & Exchange Organization of Iran show significant decline on fixed income funds’ yields registered in the Iran Capital Market. The below comparison table indicates that on average Iranian fixed income mutual funds are now paying circa 2% less to their investors over the first 8 months of 1396 (2017/18). This is the direct effect of late Iran Central Bank directive on lowering interest rates and it could be counted as a good sign for Iranian economy in general.
– The recent blockage of some Iranian petrochemical companies’ bank accounts in China, which were then, experienced by Iranian citizens and students there, took negotiations and talks to be resolved; it appeared that they originated from severe implementation of FATF regulations and did not only focus on Iranians but they were applied to other countries wanting to open an account or transfer money.
– Going under pressure to stop the issuance of Islamic Treasury Bills since late last year, the Iran Debt Market started to see the re-entrance of such securities since September this year. On Saturday, the Iran Fara Bourse hosted IRR 9,000 bn worth of bills with a YTM of circa 15%. It seems that the Central Bank of Iran’s directive on lowering interest rate on bank deposits followed by strict supervision and precision in defining new rates has now hit the Iran Debt Market. The harmony between interests offered by the money and debt markets contains two hidden messages: one refers to the opportunity it offers to deepen the Iran Debt Market by more supply and the other deals with the positive effects of lower interest rates on other markets, which has the potential to turn the stock market into a more attractive one for fresh money.