Does Iran need denomination in current situation?

Business Materials 11 September 2019 12:32 (UTC +04:00)

Baku, Azerbaijan, Sept. 11

By Elnur Baghishov - Trend:

Iran does not need to remove four zeros from the Iranian currency in the current circumstances, Iranian expert in economics Kamran Nadri said.

Iran did not carry out the necessary structural reforms, Nadri added, Trend reports referring to Tasnim News Agency.

The countries which have carried out denomination are divided into two groups, he added.

After making the necessary reforms, some countries, such as Turkey, carried out denomination, Nadri said.

Without carrying out the reforms, some countries, such as Zimbabwe, have removed zero in national currency because of the state of emergency and high inflation rate, he said.

As for the denomination of the currency in Iran, Nadri said that for the first time during the period of Nasreddin Shah [Gajar]’s power, three zeros were removed from the national currency (then the Iranian currency was called dinar).

"Thus, 1,000 dinars was equal to one qiran," he said.

He added that during Mohammad Reza Pahlavi's power, one zero was removed from 1,000 dinars and 100 dinars were equal to one rial.

During that period, the Iranian currency was called rial and the coins were called dinar, but gradually the dinar was also abolished, Nadri said.

He said that the citizens have removed a zero and have called money 'toman' since the 2000s for the simplification of the purchase-sale transactions.