Tehran, Iran, Oct.16
Trend:
Referring to the current economic situation in Iran, the spokesperson for Executives of Construction, Hossein Marashi says that Hassan Rouhani`s government had two economic programs; the first is fixing the exchange rate and the second is going to the floating FOREX market.
"But our problem in the economy is that we do not accept the consequences when we make a decision and implement it," Marashi said.
"When we decided to fix the US dollar’s exchange rate, it also has negative consequences, one of which is rents. When we decided to sell coins to decrease liquidity, letting one person buy a high number of coins - makes prices triple. These are some examples of the consequences of government`s economic decisions.”
"Iran`s economic managers are trying to make the impossible possible by implementing a policy that has no negative consequences," Marashi believes.
"When you fix the currency rate, one of the consequences is rising of the consumption and rents. Those who have access to currencies with an official exchange rate, set by the central bank, use rents for signing "golden contracts" and information rent and a thousand of other corruption schemes,” he said.
"If the second policy, which is the secondary market or the supply and demand system, is to be run, the US dollar will soar to 40 million tomans (400 million rials), which will certainly have more consequences. Neither manufacturer nor an automaker are policy makers. They all are affected by the foreign exchange market and subject to government policies. So we cannot say why the prices have increased," he said.
Referring to the Iran-Iraq war (1980-88), Maraashi said that before the end of the war, Ayatollah Hashemi Rafsanjani wrote to Ayatollah Khomeini, the founder of the Islamic Republic of Iran and stated that "You have to resolve the issue of war and the relationship between Iran and the US." I have repeatedly heard from Mr. Hashemi that the opportunity to keep the country from the edge of the abyss have to be kept. But now a crazy man in the United States has crippled us," Marashi said.
"For me, now, it's not the time to negotiate," he said.
"The compromise must be achieved inside. Political factions must resolve the disputes. We have to resist for a few months so that the Americans will realize that sanctions cannot bring Tehran to its knees, then we can negotiate,” Marashi said.
"We have to be prepared for economic austerity, we have tough times ahead.”