Removing 4 zeros from Iran national currency needs economic reform
Tehran, Iran, Aug.14
While the Iranian government has approved the bill to remove four zeros from currency, the implementation of such a decision without economic reform is not useful, said the head of Tehran Chamber of Commerce.
"The plan to remove four zeros from national currency can have positive effects, since there are difficulties in calculating transactions in rials, but it requires economic reforms," said Masoud Khansari , Trend reports citing Mehr News Agency.
In his words, without the reform, given the 30-percent annual inflation rate, zero will be added to the currency again.
The Iranian government has approved the draft bill submitted by Central Bank of Iran (CBI), which proposed to remove four zeros from the national currency and change the currency from rial to toman. The decision has to be approved by the parliament to be implemented.
The new policy is aimed to facilitate monetary transactions and maintain monetary efficiency. The bill was developed by CBI as part of a broader plan to reform the monetary system.