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Disapproval of CFT bill weakens Iran's government – economic expert

Business Materials 6 November 2018 16:34

Tehran, Iran, Nov.6

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The CFT bill has passed in the Iran parliament by low votes and had many opponents who supposed to be following the benefits of specific groups that seek lack of transparency of financial transactions, weakening government and capital accumulation by creating fluctuations in market, an Iranian economist Mahmoud Jamsaz told ILNA.

"Some of these groups have benefited greatly from the previous sanctions," he added.

"The Guardian Council had previously came to approval of the CFT but now it has rejected the bill by noting the religious faults in it. Now the bill should go to the National Security Committee in the parliament. Although I think the Guardian Council is not going to pass the bill and it will finally go to the Expediency Council that had previously rejected the bill," said Jamsaz.

He went on to add that Iran unfortunately prioritizes politics over economic and national interests.

"Although the Europeans looking for resolutions like Special Purpose Vehicle (SPV) to facilitate the banking transactions, their decision will be weakened by such Iran`s approaches and lead the US to claim Iran lacks financial transparency. This will hurt the small and medium European companies so they might refuse to invest in Iran," the expert said.

Referring to the remained time of passing the Financial Action Task Force (FATF) bills, Jamsaz says that if the FATF bills will not go through in the upcoming 4 months, even Europe, Russia and China won't support Iran, since they are also following their own interests.

He went on to add that China and Russia will not get into a trade war with the US because of Iran.

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