Iranian Rial

screwball · November 25, 2016

Iran, Ukraine to promote banking cooperation

Tehran, Nov 24, IRNA – Following the implementation of the nuclear deal, known as the Joint Comprehensive Plan of Action (JCPOA), Iran's banking system has managed to promote ties with various countries including Ukraine, says a Central Bank of Iran official.

In the post-sanctions era, Iran has opened brokerage accounts in India, China, South Korea, Japan, Russia, Turkey and many European countries, including Germany, Italy, Austria, Holland and the Switzerland, said CBI Deputy for Foreign Currency Affairs Gholam-Ali Kamyab in a joint Iran-Ukraine banking meeting on Thursday.

The meeting attended by the two countries' deputy heads of central banks for foreign currency affairs and representatives of Iranian and Ukrainian banks was held in the premises of the CBI.

After removal of sanctions, all banking operations including opening accounts and transferring funds between the Iranian and foreign banks have been possible without any limitations, Kamyab told the gathering.

Underlining the need for promoting efficient banking ties for enhancement of commercial exchanges, he said that Iranian banks have so far established over 614 brokerage ties with 230 international banks.

Referring to the level of Iran-Ukraine commercial exchanges, he said that based on figures released by the Trade Development Organization, average annual trade exchanges between the two countries stood at 321 million dollars over the past ten years until the end of 2016.

Ukrainian Deputy Governor Oleg Churiy, on his part, said that his country has no limits for establishing banking ties with Iran.

At the end of the meeting, the two officials signed a memorandum of understanding in a bid to promote banking cooperation.

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screwball · November 25, 2016

http://www.irna.ir/en/News/82320577/

screwball · November 25, 2016

12th Iran-Indonesia economic commission in Jakarta on Nov 24

Kuala Lumpur, Nov 23, IRNA – The 12th meeting of Iran-Indonesia joint economic commission is to be held on Nov 24 in Jakarta.

Minister of Communications and Information Technology Mahmoud Vaezi will chair the meeting on behalf of Iran.

The visit of the Iranian President Hassan Rouhani to Indonesia in April, 2015, was the first step to resume holding of joint economic commission after seven years, Iran's Ambassador to Jakarta Valiollah Mohammadi-Nasrabadi told IRNA here on Wednesday.

Since then, Iran and Indonesia have witnessed several great developments in their bilateral cooperation, the ambassador noted.

After the July 2015 nuclear deal, the two sides expanded exchange of delegations in line with widening bilateral ties, he added.

He further hoped the Thursday Iran-Indonesia joint economic commission would accelerate finalization of the mutual agreements.

In the tomorrow commission, several agreements are to be finalized that are expected to be signed in Tehran during the visit of the Indonesian president to the country.

He went on to say that the 11th meeting of the joint economic commission between the two countries was held last year in Tehran.

About Tehran-Jakarta relations, the diplomat said Iran's non-oil exports to that country has had 39 percent increase in the first half of the Iranian calendar year, started on March 20, 2016, compared with the same period last year.

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screwball · November 25, 2016

US Administration Working to Bolster Nuclear Pact

In a bid to secure the Iran nuclear deal before US President Barack Obama leaves office, his administration is working to stave off any additional sanctions and encouraging American companies to do business with Iran, an unnamed US official told CNN.

The moves have already met with opposition on Capitol Hill with the Republican leadership in the House sending a letter Tuesday to Obama asking his administration to cease efforts to facilitate companies doing business with Iran during the transition period.

"We respectfully request that your administration take no further actions designed to bolster international investment in Iran," House Speaker Paul Ryan, Majority Leader Kevin McCarthy and Foreign Affairs Committee Chairman Ed Royce wrote.

"President-elect Trump deserves the opportunity to assess United States policy toward Iran without your administration imposing or implementing additional measures that could complicate the incoming administration's ability to develop its policy."

A senior State Department official who is involved in the negotiations told CNN that there was "no specific effort to seal things irretrievably before the end of the term, rather just to keep meeting our commitments under the JCPOA", using the abbreviation for the accord.

The official added that the administration is not seeking to roll back any existing sanctions but is hoping to prevent the Republican-controlled Congress from extending the Iran Sanctions Act beyond 10 years.

The administration's actions were first reported in the Wall Street Journal. The House of Representatives overwhelmingly voted to extend the act for another 10 years last week. The act sanctions Iran for its alleged support of terrorist organizations but also grants the president the authority to levy additional sanctions on Tehran, if it is found to be violating the terms of the nuclear deal.

Renewed Push

The official said the US had also bolstered efforts to sway US companies to do more business in Iran as part of a bid to secure Iran's continued adherence to the accord.

Earlier this month, US Secretary of State John Kerry briefed a number of firms in London to help explain how US companies can invest in Iran, educating them as to what type of business they can do there and what types of business they cannot.

The renewed push the official explained was due to Iranians who support the deal, like Foreign Minister Mohammad Javad Zarif, telling the US that Iranian critics may attempt to kill the deal unless its benefits become more apparent within Iran.

The State Department has previously publicly acknowledged actions it has taken to help explain to US companies how they can do business in Iran while avoiding some of the non-nuclear related sanctions that remain in place.

These administration's efforts come as president-elect Donald Trump prepares to assume office in January. Trump has indicated he may be willing to scrap the deal on his first day in office, something his political ally, Senator Tom Cotton of Arkansas, said was possible.

"I would advise Donald Trump to do exactly what he said ...which is to dismantle that disastrous deal," Cotton said last week at the Defense One Summit in Washington.

White House Spokesman Josh Earnest addressed these reports on Tuesday, saying, "I can confirm for you that I do not anticipate any actions being taken that were initiated after the election solely in response to Mr. Trump's victory.

"Any actions that are taken, if there are any, are the kinds of actions that have been in the pipeline for quite some time and are entirely consistent with the United States upholding our end of [the nuclear] agreement."

Asked about reports of renewed efforts to strengthen the accord, officially known as the Joint Comprehensive Plan of Action, a spokesman for the State Department said on Monday that there were no new decisions to announce.

"Obviously, we're going to stay committed to meeting our JCPOA commitments and obviously continue to believe that the Iran deal is the right thing for the country and for our interests," State Department Spokesman John Kirby told reporters on Monday.

screwball · November 25, 2016

UN Chief Urges Adherence to Iran Deal

UN Secretary-General Ban Ki-moon said the nuclear agreement between Iran and major powers is “robust” and the leaders of the international community should abide by the accord.

“I believe that this agreement by P5+1 (the US, France, Britain, Russia, China and Germany) … was a robust agreement … We have to respect this agreement. I have been discussing this matter with Iranian authorities and they are also concerned that … if there are any changes or any disruptions of the process of this agreement, then it will take a much, much longer time [to implement the deal]. During that time, who knows what will happen again,” Ban told CNN in a Tuesday interview, cited by Sputnik. In July 2015, the six powers reached the agreement with Iran to ensure Tehran’s nuclear program will remain peaceful in exchange for sanctions relief.

During the 2016 presidential campaign, US president-elect Donald Trump had repeatedly criticized the nuclear accord, calling it the “stupidest” deal of all time. He has threatened to tear it.

Iranian statesmen have responded by saying that if the US were to tear the accord, Iran will burn it. They have also vowed to give a reciprocal response to any breach of the nuclear deal.

screwball · November 25, 2016

UK Foreign Secretary Boris Johnson said he will seek to work with the administration of US president-elect Donald Trump to “make a success” of the 2015 Iran nuclear deal, known as the Joint Comprehensive Plan of Action.

Trump criticized the deal during his election campaign and has chosen opponents of the agreement to fill senior positions in his White House team, leading to uncertainty about its future.

In a speech on March 21, he said both that he would scrap the deal and strictly enforce it.

“The government remains committed to the nuclear deal in Iran and we look forward to working with the new administration in the United States to make it a success,” Johnson told lawmakers in the House of Commons in London on Tuesday, Bloomberg reported.

“We in this country, in this government, do think there’s merit in the deal,” he said. “We should be positive about our engagement and keep it on the road.”

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screwball · November 25, 2016

he Leader of Islamic Revolution warned that should a US Congress bill to reauthorize the Iran Sanctions Act be passed into law and implemented, Iran would treat it as a breach of the 2015 nuclear deal and will respond accordingly.

"The current US administration … has so far committed numerous infringements in relation to the nuclear agreement," Ayatollah Seyyed Ali Khamenei was also quoted as saying by his official website.

US Republican lawmakers, who control the House of Representatives and Senate and unanimously oppose the historic agreement, have introduced several anti-Iran measures to interfere with its implementation.

The House passed a bill last week renewing sanctions on Iran for another decade.

"If the extension [to the ISA] is enforced, it would constitute a violation of the JCPOA, and they should know that it would definitely prompt a response by the Islamic Republic," Ayatollah Khamenei said in a meeting with members of the Basij volunteer forces in Tehran on Wednesday.

JCPOA stands for the formal name of the pact, the Joint Comprehensive Plan of Action, which was negotiated between Iran and major powers to roll back Tehran's nuclear program in return for relief from international sanctions.

The house voted 419 to one to reauthorize the ISA, a law first adopted in 1996 to target Iran's energy sector.

The Iran measure will expire at the end of 2016, if it is not renewed.

It must still be approved by the Senate and signed by President Barack Obama to become law.

Senate Majority Leader Mitch McConnell has said the chamber will vote to pass the bill before adjourning next month.

Obama would likely not veto a clean renewal because US administration officials have concluded it would not violate the terms of the action plan.

The nuclear deal says, "The US administration, acting consistent with the respective roles of the president and the congress, will refrain from reintroducing or reimposing the sanctions … It has ceased applying under this JCPOA. Iran has stated that it will treat such a reintroduction or reimposition of the sanctions … or such an imposition of new nuclear-related sanctions, as grounds to cease performing its commitments under the JCPOA in whole or in part."

screwball · November 25, 2016

Is this what we are waiting on? Not sure? Thought?

The Iran measure will expire at the end of 2016, if it is not renewed.

pokerplayer · November 25, 2016

1 hour ago, screwball said:

UK Foreign Secretary Boris Johnson said he will seek to work with the administration of US president-elect Donald Trump to “make a success” of the 2015 Iran nuclear deal, known as the Joint Comprehensive Plan of Action.

Trump criticized the deal during his election campaign and has chosen opponents of the agreement to fill senior positions in his White House team, leading to uncertainty about its future.

In a speech on March 21, he said both that he would scrap the deal and strictly enforce it.

“The government remains committed to the nuclear deal in Iran and we look forward to working with the new administration in the United States to make it a success,” Johnson told lawmakers in the House of Commons in London on Tuesday, Bloomberg reported.

“We in this country, in this government, do think there’s merit in the deal,” he said. “We should be positive about our engagement and keep it on the road.”

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Great article SB, Thanks

pp

pokerplayer · November 25, 2016

1 hour ago, screwball said:

Is this what we are waiting on? Not sure? Thought?

The Iran measure will expire at the end of 2016, if it is not renewed.

Hopefully after a good review the new US administration will agree.

pp

screwball · November 25, 2016

Embraer expects US OK for Iran plane sales

Thu Nov 24, 2016 9:21AM

Brazil's aviation giant Embraer says it hopes the US Treasury Department would give the same go-ahead it gave Airbus earlier this week to sell planes to Iran.

Brazil's Embraer, the world's third largest maker of commercial planes, says it is hopeful to get the go-ahead from the US to sell planes to Iran.

Reuters quoted an unnamed Embraer spokesman as saying that the company expects the US Treasury Department to issue a license for it – like the one it issued for France’s aviation giant Airbus – to move ahead with a plan to sell at least 20 of its E-195 jets to the Islamic Republic.

The value of the deal is estimated to be over $1 billion.

Embraer still requires a US license for the sale to Iran of sensitive jet engine technology in its planes, Reuters reported.

On Tuesday, the US Treasury Department authorized France's Airbus to sell 106 commercial planes to Iran Air, Iran's flagship carrier.

A similar scheme with US aviation giant Boeing faces an uncertain fate after the US House of Representatives last week voted to kill its deal with Iran.

The prospects for Brazil to see an opening in post-sanctions trade with Iran appeared promising on Wednesday when the country announced that the US Treasury Department had given the go-ahead for its plans to do business with the Islamic Republic without fear of sanctions.

Rodrigo Azeredo, the head of the Trade Promotion Programs Division of Brazil’s Ministry of External Relations, was quoted by Reuters as saying that the US Treasury had opened the way to billions of dollars in potential exports of not only jet planes but also buses and equipment to Iran.

Azeredo emphasized that officials from the US Treasury had explained to executives of Brazil's largest banks in Sao Paulo last week that they can deal with Iranian banks as long as the transactions - in dollars or any other currency - do not go through the US banking system and do not involve blacklisted Iranian companies.

screwball · November 25, 2016

Iran says imports of cars from US ‘authorized’

Thu Nov 24, 2016 11:11AM

Iran says imports of cars from the US are authorized as long as they have been produced by non-American brands.

Iran says imports of cars from the United States are authorized as long as they are produced by non-American brands.

Farhad Ehteshamzadeh, the president of Automobile Importers Union of Iran, was quoted by the domestic media as saying that he had made an inquiry to the same effect from the Ministry of Industry, Mine, and Trade.

The Ministry, Ehteshamzadeh emphasized, announced that only imports of cars that have been produced by American brands are banned.

He added that imports of American brands that have been produced in a third country are also forbidden, ISNA news agency reported.

Ehteshamzadeh added that 500 Iranian citizens have imported non-American brands of automobiles, but the Iranian police still failed to register them. He expressed hope that the related institutions would take note of the announcement of the Ministry of Industry, Mine, and Trade and allow the cars to be registered for use in Iran.

ISNA had earlier reported that the police was failing to register Honda, Toyota, Volvo and BMW cars that had been imported in Iran from the US.

In May, Iran’s media reported that Minister of Industry, Mining and Trade Mohammad-Reza Nematzadeh had ordered a ban on imports of US-made cars into the country.

This followed reports that a cargo of 200 Chevrolet cars was on its way to Iran.

Nematzadeh, the media reported, had moved to stop the cargo after the Leader of Iran’s Islamic Revolution Ayatollah Seyyed Ali Khamenei called for avoiding imports of American products.

Iran and the US have had no diplomatic ties since the 1979 Islamic Revolution.

screwball · November 25, 2016

Hmmm....sounds like iran playing hard ball as well....looks like they are cutting the U.S. out of all deals!

screwball · November 25, 2016

EDBI hold broker relations with 105 banks

News ID: 3830929 - Tue 22 November 2016 - 16:44

Economy

TEHRAN, Nov. 22 (MNA) – Export Development Bank of Iran (EDBI) managed to launch broker ties with 105 banks in 42 countries by the end of October, 2016.

As reported by Iran's Ministry of Economic Affairs and Finance, the Export Development Bank of Iran (EDBI), upon expansion of its cross-border activities, has begun brokerage relations with numerous banks around the world.

The latest status of EDBI, as Iran's Export-Import Bank, reveals that brokerage ties have been formed with a total of 64 banks in 20 European countries, 36 banks in 17 Asian states, four banks in Africa as well as one bank in Latin America.

As regards allocation of foreign exchange, presently currency exchanges are being carried out in countries like China, South Korea, India, Oman, Qatar and Turkey via currencies such as euro, yuan, won, rupiah, Omani rials, Japanese yen and Turkish lira.

In Europe, meanwhile, euro and Swiss franc remain as tradable currencies in Germany, Austria, Italy, Belgium, Switzerland and France.

A survey of available data indicates that SWIFT relations of EDBI have become activated with certain target banks worldwide while a number of other institution are exchanging documents and yet in some other banks accounts have been opened in order to launch brokerage relations.

HA/3830286

screwball · November 25, 2016

Iran begins talks with European insurers

News ID: 3828769 - Sat 19 November 2016 - 16:18

Economy

TEHRAN, Nov. 19 (MNA) – President of Bimeh Markazi Iran (Central Insurance of Iran) has travelled to Europe to launch negotiations with European insurers in Munich and London.

Abdolnaser Hemmati, President & Head of High Council of Insurance of Bimeh Markazi Iran (Central Insurance of IR Iran), is staying in Europe seeking to boost level of cooperation with international counterparts.

The Iranian official met and talked with CEO of Lloyd's of London insurance market Inga Beale on Friday.

Hemmati pointed to activities of Lloyd's of London in the Iranian insurance market before imposition of international sanctions adding “given Iran’s economic development plan and expansion of the country’s insurance industry, presence of Lloyd's of London in reinsurance coverage and Iran’s key risks holds great significance.”

Inga Beale, for her part, pointed to previous activities of Lloyd's of London in Iran’s market and stressed willingness of Lloyd's insurance syndicates to make presence in Iran; “presently, a total of 110 insurance syndicates are performing in Lloyds.”

Beale, while referring to existing obstacles in the banking system, emphasized the need to follow up issues related to money transfers in the insurance industry.

In response to the Iranian official’s proposal to form a committee to provide grounds for activity of Lloyd's insurance syndicates in Iran’s free zones, Beale urged two international directors of Lloyds to visit Tehran and conduct negotiations with senior officials of Central Insurance of IR Iran.

The meeting between president of Bimeh Markazi Iran (Central Insurance of IR Iran) and CEO of Lloyd’s of London came after a 12-year gap in official meetings between the two organizations.

HA/3828622

screwball · November 26, 2016

Officials from the Central Bank of Iran and the National Bank of Ukraine met at the CBI headquarters in Tehran to discuss expansion of banking relations with deputy governors of both banks in attendance.

“Under the new circumstances and after secondary sanctions were lifted, it is now possible for all kinds of banking operations between Iranian and international banks to be carried out without limitations or concerns” Gholamali Kamyab, CBI’s vice-governor for foreign exchange affairs said in reference to last year’s landmark nuclear deal, the official CBI website reported.

Kamyab said Iran’s banking procedures allow for opening accounts overseas and transferring funds in euro and other major currencies except for the US dollar.

Tehran has established correspondent relations with 230 foreign banks since January following the implementation of the nuclear deal. Iranian banks opened letters of credit worth $17 billion in the first seven months of the current calendar year (started in March), according to the CBI.

Emphasizing the role of effective banking relations in order to expand trade and business, Kamyab said as a result of CBI efforts a significant part of the problems created due to the restrictions have now been addressed. Iranian banks have built over 614 correspondent relations with 230 international peers.

“According to statistics released by the Trade Promotion Organization of Iran, the average annual volume of business deals between Iran and Ukraine has been $321 million during the 10 years ending in 2016,” Kamyab said.

He proposed both countries’ banking card systems to be connected further suggesting that the two central banks open accounts with each other. “Doing so will facilitate banking connections and empower banking channels that are used to make payments.

“Furthermore, using national currencies in the form of a Banking Practice Agreement (BPA) is another way of easing business two-way deals”, he added.

His Ukrainian counterpart backed collaboration between the central banks of both countries and their lenders in general.

“Based on the approval of Ukrainian authorities, now there is no restriction to the establishment of correspondent relations with Iranian banks,” Oleg Churiy said.

AML/CTF Collaboration

Pointing to the benefits of the decision by the Financial Action Task Force (FATF) to suspend Iran’s name from its blacklist, the Ukrainian banker said it will help further ease the expansion of ties and “eliminate earlier concerns related to combating money laundering and financing of terrorism in Iran.”

The intergovernmental FATF was founded in 1989 and is currently tasked with issuing guidelines to counter the financing of terrorism and money laundering. In late June, it decided to keep Iran on its blacklist of high-risk countries but welcomed Iranian promises to improve and called for a one-year suspension of some restrictions on Tehran.

On the exchange of the banking knowledge and experience between the two countries, Churiy expressed readiness to assist Iran when it comes to the rating of its banks and financial institutions by global agencies.

The CBI had announced earlier that it is negotiating with international credit agencies over the issuance of a sovereign credit rating for the country. A domestic plan is also underway to introduce a rating system for lenders based on which weaker banks would have to be treated differently than their high-performing peers.

“We also hope to establish full-fledged banking ties between the two countries in all categories including combating money laundering and fighting terrorism financing,” he concluded.

The vice-governors of the CBI and the NBU signed a Memorandum of Understanding aimed at fostering banking ties between Iran and the Eastern-European nation.

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screwball · November 26, 2016

The US Treasury has reassured Brazilian banks they can finance trade with Iran without fear of sanctions, opening the way to billions of dollars in potential exports of jet planes, buses and equipment, a senior Brazilian official said on Wednesday.

Sanctions on non-US entities doing business with Iranian companies were lifted with implementation in January of the nuclear accord with Iran, but Brazilian banks remained worried they could still face repercussions, said Rodrigo Azeredo, Brazil's top diplomat for trade.

"They feared US and European banks could react by cancelling their credit lines," Azeredo said, Reuters reported.

That is expected to change after Treasury officials explained to executives of Brazil's largest banks in Sao Paulo last week that they can deal with Iranian banks as long as the transactions - in dollars or any other currency - do not go through the US banking system and do not involve blacklisted Iranian companies.

The assurances from the Treasury's Office of Foreign Assets Control (OFAC) should remove a financial hurdle to Brazil's plan to expand trade with Iran to $5 billion in a few years from $1.6 billion last year, the Brazilian foreign ministry official said.

"The US government feels almost obliged to update its partners on the sanctions on Iran. They want to show that Iran can benefit too from the nuclear accord," Azeredo said.

US President-elect Donald Trump threatened to scrap the nuclear agreement with Iran during his campaign for not being tough enough, which could bring back secondary sanctions on non-US entities.

The OFAC team's briefing coincided with a visit to Brazil by an Iranian mission headed by Finance Minister Ali Tayebnia seeking to advance trade deals.

Brazil's Embraer, the world's third largest maker of commercial planes, is in talks to sell Iran at least 20 of its E-195 jets worth over $1 billion as the Middle Eastern country moves to renew its aging airline fleets.

Embraer still requires a US license for the sale to Iran of sensitive jet engine technology in its planes.

An Embraer spokesman said the company was hopeful it will get the go-ahead following similar licenses granted recently to European planemaker Airbus to sell commercial planes to Iran.

Brazilian bus maker Marcopolo SA is also looking to sell hundreds of vehicles to Iran. The company declined to comment.

Azeredo said Iranian companies were seeking Brazilian equipment ranging from tractors and electrical generators to hospital and dental equipment.

In new guidance published in October, the US Treasury Department said that some previously prohibited dollar transactions with Iran by offshore banking institutions are allowed as long as they do not enter the US financial system.

The clarifications also remove a blanket ban on foreign transactions with Iranian firms that may be controlled or minority owned by a person who remains subject to US sanctions. The language says such transactions are "not necessarily sanctionable" under existing US regulations.

Since the nuclear deal took effect earlier this year, Iran has complained that the US is not living up to its end of the deal.

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screwball · November 26, 2016

Economy
Business And Markets

Saturday, November 26, 2016

Currency Market Under Control

The rate of the US dollar to the rial is unlikely to reach 38,000 rials, said Hamid Zaman Zadeh, director of research department at Banking and Monetary Institute, affiliated to the Central Bank of Iran.

“Currently, the market is not in a crisis and no volatility is predicated. Donald Trump’s victory in the US presidential election lead to increased uncertainty in the market. Concerns will gradually fade away if the upcoming US government does not act on major policy changes (as promised during Trump’s campaign),” Fars News Agency quoted him as saying on Thursday.

His comments come after the recent rally in US dollar and other major currencies in the Iranian market.

The greenback sold for 37,430 rials on Thursday. The currency has gained 1,320 rials during the past 30 days. It fetched 36,110 rials on October 25.

Euro was sold for 40,350 rials on Thursday, having increased by 790 rials during the past 30 days. The British pound gained 2,580 rials during the one-month period and sold for 47,090 rials on Thursday.

Businesses Worry

Businesses are concerned about possible hindrances in the implementation of CBI plans for launching a single forex rate regime by the end of the current fiscal year in March 2017.

Mohammad Lahouti, a board member of Tehran Chamber of Commerce, Industries, Mining and Agriculture, said he “wonders why the CBI has not yet unified foreign exchange rates, which he called “the private sector’s main concern.”

“Lack of sufficient resources [probably] is the main cause of delays in the implementation of the plan,” TCCIM news website quoted him as saying.

“The CBI is also obliged to control heavy fluctuations in forex market, according to the Fifth Five-Year Economic Development Plan,” he added.

Addressing similar concerns, Zaman Zadeh said the CBI will keep increasing the official exchange rate, in line with plans for the unification of forex rates.

The central bank is working to bring the official and market rates closer, mainly through gradually raising the official exchange rates over the past few months. Official rate for the dollar was 32,095 rials on Thursday.

Currently, there is a 15% difference between the official and market rates, according to the official. “There used to be a 50% difference between the two rates.”

“A unified rate for the US currency would probably be lower than 37,000 rials,” he said, “unification of the forex rates will increase supply in market, which by extension would lower the rates.”

Zaman Zadeh referred to the surge in Iran’s oil revenues [in the wake of sanctions relief] and income from non-oil exports and said Iran has sufficient resources needed for the unification of currency rates.”

Iran was forced to revert to the controversial double exchange rate regime after nuclear-related sanctions unleashed turmoil in the forex market in 2011-12 in which the national currency lost almost 70% of its value within days.

Topics

Forex Rate Unification Tehran Currency Market

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screwball · November 26, 2016

Almost a year after the opening of Germany’s Bavaria office in Iran, Tehran Chamber of Commerce, Industries, Mines and Agriculture opened its Munich office, TCCIMA news portal reported.

On the fourth day of an Iranian delegation’s visit to the European country, TCCIMA President Masoud Khansari and head of the Association of the Bavarian Economy, Bertram Brossardt attended the opening ceremony of the chamber’s office in Munich.

The southern state of Bavaria is Germany’s biggest state, hosting many industries, including BMW, Audi and Siemens.

screwball · November 27, 2016

Tejarat Bank has established relations with 60 foreign banks since the lifting of sanctions in January, said Ali Mehrpour the bank’s director for international affairs. He added that talks are underway with 40 other international banks. Italy’s UBI, Banca Popolare di Vicenza, the major Finnish bank OP, Czech Republic’s KBC, Belgium’s Belfius, and China’s Development Bank are some of the banks that Tejarat is trying to establish link with, EghtesadOnline website reported. Talks are also underway with the Central Bank of Malaysia and Bank May (Malaysia’s largest commercial lender), he said. The banker was hopeful about Tejarat’s relations with European export agencies like Finland’s Finnvera and Czech Egap. Mehrpour added that his bank has promoted transparency and accountability in line with international anti-money laundering standards.

screwball · November 27, 2016

two-day economic forum dubbed ‘Showcase Iran 2016’ will open in London on Monday to promote Iran’s investment opportunities among British investors.

The event “will showcase a variety of Iranian growth companies looking to increase their investment profile and engage with institutions and professional service providers from the UK and Europe,” reads a statement on a website dedicated to the event, www.showcase-iran.com.

“The forum also features topical content on the practicalities to investing in Iran, including legal dynamics, KYC and due diligence requirements, sources and structures of finance, successful market-entry strategies and methods to mitigate and manage risk.”

Showcase Iran 2016, co-organized by Frontier Exchange and the Intelligent Persians Corporation, claims to have been specifically designed to provide Iranian companies with the opportunity to connect and forge ties with global investors, multinational corporations and joint venture partners with serious interest in doing business in Iran.

“The event will draw together Iranian business leaders, government officials, regionally-focused banks, law firms and professional service providers with the common objective of restoring ties and building bridges in the world’s fastest growing frontier market,” the statement added.

Hamid Badieinejad, Iran’s ambassador to the United Kingdom, and Hassan Forouzanfard, board member at Tehran Chamber of Commerce, Industries, Mines and Agriculture are among the keynote speakers, alongside representatives of British financial and legal firms.

On the second day, companies and businesspersons from both countries will hold B2B meetings.

“Despite an opening in Iran’s economy, there has been little communication with Britain in the absence of embassies in the months following the implementation of the nuclear deal,” Forouzanfard was quoted by TCCIMA’s news service as saying.

“This is while London is one of the biggest financial hubs in the world,” he added.

In August, UK’s former foreign secretary, Philip Hammond, reopened the British Embassy in Iran for the first time since it was closed in 2011. The two countries officially resumed political relations as Tehran also reopened its embassy in London simultaneously. This paved the way for British companies to consider opportunities in the emerging economy, which opened up following the easing of international sanctions in January, as part of last year’s historic deal between Tehran and the six world

screwball · November 27, 2016

Well I tried to post some articles but had some trouble, irans inflation sitting at 8.5% but the aim to cut it drastically within the next 2 months! Wonder how they are going to do that?

screwball · November 28, 2016

Germany has reportedly agreed to provide Iran with a €1.2 billion ($1.27 billion) credit line to help finance a key rail project in what is seen as the biggest foreign financing the country has been able to secure after the removal of sanctions.

Bloomberg has quoted an unnamed official from the Central Bank of Iran (CBI) as saying that the financing will be provided to the Islamic Republic through Germany’s state-run lender KfW IPEX. The official added that it would be used for the development of the railway from Tehran to Mashhad.

The funding has been agreed in principle and is close to being finalized, Bloomberg quoted Michael Tockuss, chairman of the Germany-Iran Chamber of Commerce, as saying. It would be the biggest credit line Iran has secured from foreign sources since the easing of sanctions in January, he added.

The announcement comes only a few days after the tragic crash of two trains on Tehran-Mashhad railway left dozens dead and many wounded. The crash was blamed on human error but nonetheless revived a debate at home that the country’s ageing rail fleet needs to be renovated.

Germany’s Siemens has already announced serious plans to help develop Iran’s railway system. Local media reported earlier this year that the company had signed several agreements with Iran to develop its railway network, including the electrification of the Tehran to Mashhad line. Also, officials in Tehran said earlier this month that talks were underway with Siemens to acquire high-speed trains from the company through 30-year leasing deals.

screwball · November 28, 2016

Officials from the Central Bank of Iran and the National Bank of Ukraine met at the CBI headquarters in Tehran to discuss expansion of banking relations with deputy governors of both banks in attendance.

“Under the new circumstances and after secondary sanctions were lifted, it is now possible for all kinds of banking operations between Iranian and international banks to be carried out without limitations or concerns” Gholamali Kamyab, CBI’s vice-governor for foreign exchange affairs said in reference to last year’s landmark nuclear deal, the official CBI website reported.