Soleimani's assassination to affect Iran's financial market - expert

Business Materials 7 January 2020 15:23 (UTC +04:00)
Soleimani's assassination to affect Iran's financial market - expert

TEHRAN,Iran, Jan.7


Assassination of IRGC commander, General Qassem Soleimani will affect Iran's financial and capital markets, but it won't last for long, economist Mahmoud Jam Saz told Trend.

On Jan. 3, Major General Qassem Soleimani, the head of Iran's elite Islamic Revolutionary Guard Corps (IRGC) - Quds Force was killed as a result of air strikes at Baghdad Airport.

The Pentagon claimed responsibility for the assassination of the Iranian general. The Pentagon said that Soleimani had "orchestrated" attacks on coalition bases in Iraq over the past few months and approved the "attacks" on the U.S. embassy in Baghdad.

"Such incidents affect not just domestic markets, but international ones as well. We've witnessed how the WTI and Brent oil prices increased following Soleimani's assassination," he said.

"The US dollar rate and gold price have increased in Iran after the assassination, the price of gold in the global market reached $1,500 per ounce while the price of gold in domestic market has risen as well," he added.

"The US sanctions brought economic challenges for Iran, and the recent sanctions created even more risks. So the people's trust in the markets and investments have dropped immensely," Saz said.

"In addition, the US president threatened to hit 52 points and cultural sites in Iran," he said.

The economist went on to say that Iran's hasn't yet decided on the Financial Action Task Force (FATF) related bills and recent events created negative atmosphere. Saz believes that it is unlikely the case would be solved on Iran's part by February 20 deadline.

"After that, Iran would be put back on the FATF black list," he said.

"Currently there is chaos in both political and economic spheres in Iran, and the there's social pessimism about the country's future," he said.