Iranian Rial

[WheresmyRV?]

Oh wait this is from April of 2017. 

[blueskyline]

Perhaps this is a transition note from 10,000 then to 1 .....removing 4 zeros 

[screwball]

On 01/10/2017 at 9:36 AM, WheresmyRV? said:

Two years now?  

 

Old article...you need to go back and re read....bills presented in August it is now October and they have stated bills (which removal zeros is part of) has been pres eyed to majlis for approval...so any weekend in ocotber we should hear or see articles about these bills. 

[screwball]

23 hours ago, blueskyline said:

Perhaps this is a transition note from 10,000 then to 1 .....removing 4 zeros 

 

I just see it as a new note....I have no doubt notes lower denoms will be on the horizon when they remove four. We need to remember the majlis and cabinet has previously approved a bill to remove four zeros, it's only the new government that has said they want one and to rename it. The fact is on the street it's been called toman for the last 20 years. It's still the rial. We also need to remember that the cbi conducted a vote on the naming and currency change, and the majority approved the rial. Will they go back to manadated value per law, I believe so as they have said they wantbrue worth which in law is valued against four grams of gold.

[screwball]

Majlis has also said if you are going to remove one why not four. The majlis has the final say, if they have approved four, will one be a prelude to the then moving another four possible? Let's not forget trumps comments regarding Iran in the second presidential debate! "Iran will b a powerhouse" 

[screwball]

It is planned to remove zeros off currency and make the rial value real," Iran's government website quoted Ahmadinejad as saying. "The value of rial, under the law, is calculated on the basis of the price of gold. For some reason, the rial has been devaluated and we have to return its value to the one existing in the law."

[screwball]

23 hours ago, blueskyline said:

Perhaps this is a transition note from 10,000 then to 1 .....removing 4 zeros 

Could also be 1 in a series of new notes...

[screwball]

Envoy: Oman resolved to broaden relations with Iran

Muscat, Oct 2, IRNA – Tehran's ambassador to Muscat said that Oman is determined to broaden continued and stable economic cooperation with Iran.

'To attain the goal the country is to exclusively dedicate Suwayq port to ease commute of Iranian businessmen and nationals to the country,' Mohammad Reza Nouri Shahroudi said on Monday.

The Iranian ambassador said that the two sides also are set to increase the number of flights between the two countries in line with the same policy.

'We are witnessing that political relations between the two countries are at its zenith and economic ties improving day by day,' Nouri Shahroudi told reporters on the sidelines of a visit by Foreign Minister Mohammad Javad Zarif to Oman.

Nouri Shahroudi said that the Iranian foreign minister and his Omani counterpart are to discuss bilateral ties and regional developments.

'Various issues such as current developments in northern Iraq along with ill-wishing events concerning the implementation of the Joint Comprehensive Plan of Action (JCPOA) are to be reviewed between the two sides,' the ambassador added.

1430**2050

Follow us on Twitter @IrnaEnglish

[screwball]

4th EU-Iran forum to examine post-sanction investments

Vienna, Oct 2, IRNA – The 4th Europe-Iran Forum (EIF) focusing on post-sanctions investment and trade will be launched on Tuesday, October 3, in the north-central Swiss city of Zurich.

 

4th EU-Iran forum to examine post-sanction investments

The two-day EIF4 will be the first to be held in the tenure of Donald Trump who was elected as new US president on Nov 8, 2016.

 

Despite the US lack of commitment to the July 2015 nuclear deal, known as the Joint Comprehensive Plan of Action (JCPOA), in order to prevent Iran from having benefit of the agreement, the Europeans have expressed their unanimous support for the international agreement and welcomed Tehran's return to the financial markets and trade and banking activities.

 

The founder of Europe-Iran Forum, which was established four years ago, has recently commented on the EIF4, saying the event is very important for Europe's business community.

 

In an exclusive interview with finews.com on Sept 11, Esfandyar Batmanghelidj said, 'Cooperation is needed among the full range of stakeholders, and the Forum is designed to help support more dialogue, information sharing, and relationship building within the network of business leaders and policymakers working on Iran today.'

 

The first, second and third EIF were held in October 2014 in London, September 2015 in Geneva and May 2016 in Zurich respectively.

 

'We see more political willingness to reform key laws and policies in order to create better conditions for foreign investors,' the Swiss news site quoted Batmanghelidj as talking of re-election of the Iranian President Hassan Rouhani in May 19. 

 

About Iran's economic conditions, the EIF founder said 'Iran has made good progress in its complicated process of financial reform. 

 

'Early this summer, the Financial Action Task Force (FATF) chose to continue to suspend Iran's position on its 'black-list'.

 

'The process remains in its early phase, but Iran's bankers deserve credit for their determination to regain their place in the international financial system.'

 

The presence of the Secretary General of the European External Action Service (EEAS) Helga Schmid and a number of European ambassadors to Iran in the EIF4 is another 'clear message' to Trump administration that all sides have to be loyal to the JCPOA and its implementation.

 

And this message, as experts believe, is sending to the US government at a time President Trump is to announce his decision about Iran's compliance with the international deal and suspension of the sanctions to the US Congress in upcoming days.

 

In related development, European Union’s Ambassador to the United States David O’Sullivan said about a week ago “This agreement [JCPOA] is delivering on a very, very important objective, which is to ensure that Iran does not possess nuclear weapons.

 

'The view of the European Union is that this agreement is a success.'

 

Iran is 'fully living up to its commitments' under the agreement, O’Sullivan noted at the Atlantic Council held in the US last week.

 

It may be up to the Europeans to save the deal, O’Sullivan said while pointing to the challenges Trump administration has presented to the JCPOA.

 

Ultimately, O’Sullivan and his German, French and British counterparts 'reiterated their commitment to the agreement,' the website of the Atlantic Council wrote on September 25.

 

Analysts believe that EIF4, which is held just less than two weeks after Austria's Oberbank and Denmark's Danske Bank signed banking agreements with Iran, will prepare good grounds for the European companies to further cooperate with Iran.

 

Different companies in the countries of Switzerland, Austria and the states of the Nordic region (Denmark, Finland, Iceland, Norway and Sweden in Northern Europe) have been waiting for cooperating with Iran.

 

So, the EIF4 can pave the way for the Europeans to build sustainable cooperation between Iran and Europe in the future. 

 

1483**2044

 

Follow us on Twitter @IrnaEnglish

[Freedomwish]

10 hours ago, screwball said:

And this message, as experts believe, is sending to the US government at a time President Trump is to announce his decision about Iran's compliance with the international deal and suspension of the sanctions to the US Congress in upcoming days.

 

I don't know about the rest of you guys, but the next couple of weeks is gonna' drive me nuts wondering Trump's decision will be........

[gregp]

14 hours ago, Freedomwish said:

 

I don't know about the rest of you guys, but the next couple of weeks is gonna' drive me nuts wondering Trump's decision will be........

 

We'll be just fine. 

[pokerplayer]

35 minutes ago, gregp said:

 

We'll be just fine. 

 

I agree. From what I read online and what SB has brought us everything seems to point to something happening is late Oct. Does that mean a shift in currency value ? I don't know but it does seem like something is going to change late this month.

 

  And so we will wait and see.

 

   pp

[gregp]

1 minute ago, pokerplayer said:

 

I agree. From what I read online and what SB has brought us everything seems to point to something happening is late Oct. Does that mean a shift in currency value ? I don't know but it does seem like something is going to change late this month.

 

  And so we will wait and see.

 

   pp

 

We're getting close. I feel it. 

[Freedomwish]

5 hours ago, gregp said:

 

We'll be just fine. 

Surely hope so 

 

5 hours ago, pokerplayer said:

 

I agree. From what I read online and what SB has brought us everything seems to point to something happening is late Oct. Does that mean a shift in currency value ? I don't know but it does seem like something is going to change late this month.

 

  And so we will wait and see.

 

   pp

Keeping the faith! 

 

4 hours ago, gregp said:

 

We're getting close. I feel it. 

I'll have my bottle of whisky ready on hand! 

[screwball]

Since complying with international standards and building strong infrastructures are prerequisites for opening a branch in another country, Sina Bank has managed to complete the first phase of its agreement with KPMG, one of the world’s leading companies providing financial advisory services, Sina Bank’s CEO announced.

Mohammad Reza Pishro added that the agreement is aimed at implementing global banking standards for opening a branch in Munich, Germany.

“In August 2016 when the project of opening a branch in Munich started, we signed a contract with KPMG, based on which the advisory company should help Sina Bank to comply with international banking standards and also provide the bank with insights to improve its banking services,” Pishro was also quoted as saying by IBENA.

The bank’s CEO noted that the compliance process was undertaken through regular meetings alongside educational workshops held by KPMG’s representatives.

According to Pishro, through the first phase of the KPMG contract, a comprehensive roadmap have been prepared in five fields, namely strategic business plan, regulations of internal supervision and preparing documents for combating money laundering and financing of terrorism, as well as international compliance.

“These documents have been approved by the bank’s board of directors and KPMG’s representatives, which will represent the strength and stability of our bank to the world,” he said.

Pishro commended KPMG’s cooperation during this phase and emphasized that he is confident it will continue during the implementation of the roadmap, which will accelerate the process of opening the branch in Munich and acquiring the permits to do so.

The head of Sina Bank’s compliance project Mohammad Reza Saroukhani elaborated on the details of KPMG project as the advisory company asked for 150 various reports which exceeded from 400 pages.

“The reports were translated and sent to the company as they were presented and assessed through 21 consistent meetings,” he added. The head of KPMG’s financial services noted that Sina Bank is on a n important milestone to reform and modernize its banking and management systems.

“The project was very significant as it provided the bank with a clear insight of international standards of banking procedures,” he added.  

[screwball]

Big news....

 

For making Iranian financial institutions conform to international standards, Money and Credit Council–a top monetary decision-making body–has approved a directive that requires banks to implement compliance risk standards.

"With the implementation of this directive in the banking system, another step will be taken for making the banks of our country comply with international banking supervision standards and for creating a favorable climate to prevent a violation of standards," the Central Bank of Iran wrote in a statement on its official news website.

The directive is mainly concerned with compliance risk which, as CBI notes, has become one of the main risks facing financial institutions in recent years, hindering Iranian banks' efforts to engage with their international peers.

According to Basel Committee on Banking Supervision, compliance laws, rules and standards generally cover issues such as observing standards of market conduct, managing conflicts of interest, treating customers fairly and offering customer guidance.

They typically include specific areas such as the prevention of money laundering and terrorist financing, and may encompass tax laws that are relevant to the structuring of banking products or customer advice.

A bank that knowingly participates in transactions intended to avoid regulatory or financial reporting requirements, evade tax liabilities or facilitate illegal conduct will be exposing itself to significant compliance risk.

CBI says it devised and communicated this directive to MCC, in light of the importance of this risk and its significance in the international banking community.

Since the implementation of the nuclear accord in January 2016 and especially in the past few months, CBI has been focused on gradually upgrading Iranian banks and credit institutions in terms of standard conformity, as correspondent banking ties with international counterparts, most notably with major European banks, are still far from ideal.

In mid-May, the policymaker notified Basel III principles on corporate governance to private banks and credit institutions, and placed the oversight of state-owned lenders on its agenda.

MCC also approved another directive aimed at enhancing banks' capital adequacy ratio in line with international standards in mid-June, which replaced previous guidelines that had remained intact since 2003.

Basel III (or the Third Basel Accord) is a global, voluntary regulatory framework on banks' capital adequacy, stress testing and market liquidity risk. The third installment of the Basel Accords was developed in response to the deficiencies in financial regulation revealed by the financial crisis of 2007-8 to strengthen capital requirements by increasing liquidity of banks and reducing their leverage.

Changes in MCC Structure

This week, at the recommendation of CBI Governor Valiollah Seif, President Hassan Rouhani officially appointed two well-respected figures, namely his deputy for economic affairs, Mohammad Nahavandian, and his special aide for economic affairs, Masoud Nili, to become MCC members.

Nahavandian and Nili were subsequently inducted into the council and were present at late Tuesday's meeting where the new directive was approved.

Late August, Masoud Karbasian, the new economy minister, and Mohammad Shariatmadari, the new minister of industries, mines and trade, were sworn in as new members representing the administration in the 14-strong committee.

Minister of Roads and Urban Development Abbas Akhoundi and Minister of Agriculture Mahmoud Hojjati were other recent appointments.

As Donya-e-Eqtesad, Financial Tribune's sister publication notes, these new appointments represent a notable change in MCC as, for the first time, two recognized monetary and banking experts–Nahavandian and Nili–are in the committee and officials act as policymakers.

This enhances the independence of CBI and MCC, and aligns them with the macroeconomic requirements of the country, such as maintaining a low inflation rate and registering a high GDP growth rate.

The permanent members of MCC include the CBI governor, the economy minister, two ministers chosen by the Cabinet, the head of Iran Chamber of Commerce, Industries, Mines and Agriculture as the representative of the private sector and the country's prosecutor general, as well as two parliament members.

 

[screwball]

Now we need majlis to approved the remove four zeros and send it to the money and credit council...

[pokerplayer]

Moving at warp speed ! I just have a feeling that something huge is going down this month !!

 

pp

[screwball]

Old...but relevant

 

The Central Bank of Iran has played a significant and effective role in implementing Basel II and III standards in the banking system, a board member of Bank Maskan said.

“When the banks reach the required standards, they would be able to benefit from the international financial services and establish correspondent relations with foreign banks,” Alireza Bolgouri was also quoted as saying by IBENA.

Basel III (or the Third Basel Accord) is a global, voluntary regulatory framework on bank capital adequacy, stress testing and market liquidity risk. The third installment of the Basel Accords was developed in response to the deficiencies in financial regulation revealed by the financial crisis of 2007–08 to strengthen bank capital requirements by increasing bank liquidity and decreasing bank leverage.

Bolgouri noted that CBI is supporting Iranian banks in implementing the regulations, therefore the banking system will soon be able to reach those standards and increase foreign investments and financing.

“The financial system of our country is bank based and banks shoulder most of the financing but they are also able to use the opportunities in global market,” he added.

This is while CBI Governor Valliolah Seif had earlier announced that the Iranian banking system has already adopted the risk-based Basel I capital adequacy accord and is making the move to adopt more advanced and up-to-date banking rules.   

Quick changes in global and regional markets, especially after the financial crisis, highlight the necessity, relevance and value of these accords. Enhanced regional and global cooperation is necessary to counter banking and financial crises in the face of the interconnected financial markets. It is also imperative to increase interactions and cooperation to ensure the smooth handling of regulations and the supervision of financial markets and institutions, and prevent regulatory arbitrage in this fast and open global economy.

[screwball]

Just now, screwball said:

When the banks reach the required standards, they would be able to benefit from the international financial services and establish correspondent relations with foreign banks,” Alireza Bolgouri was also quoted as saying by IBENA.

 

[screwball]

1 minute ago, screwball said:

Bolgouri noted that CBI is supporting Iranian banks in implementing the regulations, therefore the banking system will soon be able to reach those standards and increase foreign investments and financing.

“The financial system of our country is bank based and banks shoulder most of the financing but they are also able to use the opportunities in global market,” he added.

 

Nice I would say they are ready

[screwball]

From June...

 

Anew directive aimed at enhancing banks' capital adequacy ratio in line with international standards was approved during the last meeting of the Money and Credit Council late Tuesday.

The motion–put in place by the financial sector's decision-making body–obligates the banking sector to strengthen its capital base in accordance with the latest international regulations, the Central Bank of Iran's website reported.

The ruling strives to promote the stability of banks, which will accelerate the development of international relations in line with the guidelines for banking reform.

These guidelines will replace the old ones that MCC approved in 2003 and had remained intact.

Need for changing the law became more acute, in view of its limitations and especially after international standards witnessed major changes in the aftermath of the global financial crisis.

According to the directive, banks have five years to upgrade themselves as per the new rulings and instructions.

Last month, the Central Bank of Iran notified Basel III principles on corporate governance to Iranian private banks and credit institutions, as part of the regulator's mandate to incorporate global standards.

Basel III (or the Third Basel Accord) is a global, voluntary regulatory framework on banks' capital adequacy, stress testing and market liquidity risk. The third installment of the Basel Accords was developed in response to the deficiencies in financial regulation revealed by the financial crisis of 2007–8 to strengthen bank capital requirements by increasing bank liquidity and decreasing bank leverage.

As Iranian banks were struggling with low CAR and conforming to international standards, CBI issued a directive last October to plumpup banks’ capital cushions.  

Iranian government took two important steps to improve the capital adequacy ratio of banks, namely the recapitalization of eight public-sector banks and settling payment arrears to the banking system.

As the government increased its capital to public-sector banks by 242 trillion rials ($6.4 billion), their capital adequacy ratio improved significantly but most of the banks are still having issues with the ratio.

Minimum capital requirement–8% under Basel II and 13% under Basel III-obligates banks to maintain the minimum capital ratios of regulatory capital over risk-weighted assets. It was reported last year that the average capital adequacy ratio of Iranian banks is around 5%, which is well below international norms.

[screwball]

7 minutes ago, pokerplayer said:

Moving at warp speed ! I just have a feeling that something huge is going down this month !!

 

pp

 With them connected to swift, chips, target 2 and now postal swift, over 460 bureau de change outlets (1500 possible outlets worldwide in 28 countries), union pay they are ready to,go. The article talking about dec 21st to be connected to postal swift says they will go before hand unless something or someone causes a post pone et either way I am excited for October and November. More and more banks are opening up in other countries.

Edited October 4, 2017 by screwball

[pokerplayer]

1 minute ago, screwball said:

 With them connected to swift, chips, target 2 and now postal swift, union pay they are ready to,go. The article talking about dec 21st to be connected to postal swift says they will go before hand unless something or someone causes a post pone et either way I am excited for October and November. More and more banks are opening up in other countries.

 

I also read an article somewhere that countries are going to push back should the US try and reimpose sanctions. That alone carries alot of weight I believe.

 

  pp

[Freedomwish]

Ummm....wow