Iran to sell debt securities, to make up for budget deficit
TEHRAN,Iran, June 1
Iran's treasury is to sell debt securities in the coming days to provide for the country's budget deficit, said the Governor of the Central Bank of Iran Abdolnasser Hemmati, Trend reports citing ILNA.
"By final approval of the Supreme Council for Economic Coordination, the budget deficit of the current Iranian year will be provided by release of debt securities to the capital market, alongside offering shares of some government properties," said Hemmati.
"The Central Bank of Iran (CBI) is to release the official announcement on targeting frame work for inflation on Tuesday," he said on his Instagram account.
"The following approach is a monetary policy to reduce the diversion in inflation rate. The CBI has reduced the interest rate and by implementing open market operation, it will manage the monetary market," he added.
Hemmati said that two banks - Mehr Eghtesad and Hekmat will merge into Sepah Bank in the next 10 days, as the CBI continues reforming the country's banking system and maintaining the health of the banks.
"The country's banking system is ready to pay 500,000 billion rials (about$ 11.9 billion) of advances with a 12-percent interest rate to businesses hurt by coronavirus spread. This would be done as soon as the banks are in the list of qualified candidates," he said.