Iran's currency changes gradually

Business Materials 14 July 2011 12:14 (UTC +04:00)
Iran's currency changes gradually

Azerbaijan , Baku, July 13 /Trend/

Iran plans to remove the four zeroes from the national currency would be implemented gradually after subsidy cuts are completed. Officials assure that the reform will not affect the value of Iranian's assets and savings accounts, Mehr News Agency reported quoting Economy Minister Shamsoldin Hosseini as saying.

"Reform of the national currency does not constitute a change in the value of money, gold, or deposits, and details pertaining to the removal of four zeroes from the currency will be announced publicly," he said.

It's possible that we would have two types of currency a year or two but the change of currency will occur through a long legal process, he noted.

The implementation of currency reform depends on government approval, leading to the replacement of the present currency.

Iranian government will submit proposals to remove four zeroes from the national currency after further reviews are made by the government economy commission and economic development plan committee.

By approving the proposal in Parliament the Guardian Council will begin reviewing the executive process of reforming the national currency.

The Central Bank of Iran's (CBI) proposal to remove four zeroes from its currency was approved by the government on Sunday, CBI Governor Mahmoud Bahmani said earlier.

The CBI predicted it requires at least three years for certain measures to be prepared in order to replace Iran's national currency.