TEHRAN, Iran, Oct. 19
Trend:
The Iran Monetary and Banking Research Institute announced in a statement that the Central Bank in the current period does not seek to inject foreign currency into the market at all.
“One of the tasks of the Central Bank is to protect foreign exchange resources and manage the country's foreign exchange earnings and expenditures, along with maintaining the value of the national currency,” The Monetary and Banking Research Institute said in a statement today on Sunday, Trend reports citing IRNA.
“In the meantime, the over injection of foreign exchange resources into the market with the intention of keeping the exchange rate artificially and temporarily low and preserving the apparent value of the national currency is the simplest solution,” the institute said.
CBI under the management of Abdul Nasser Hemmati has tried to correct the wrong previous procedures and try to improve the fundamental economic variables, including bank imbalances, government budget deficit, and inflation rate, the institute said in a statement.
Iran Monetary and Banking Research Institute added that the performance of former central bank governors in injecting foreign currency into the market shows that since 2003, $282 billion of foreign currency has been injected into the market to control the foreign exchange rate.
According to this report, Former CBI governors including "Mahmoud Bahmani", "Tahmasb Mazaheri", "Ebrahim Sheibani”and "Valiullah Seif" have injected $ 160 billion (equivalent to $ 32 billion annually) in 5 years, $ 30 billion in one year of central bank management, $ 57 billion (equivalent to $ 14.2 billion annually) in 4 years and $ 35 billion (equivalent to $7 billion per year) during 5 years of management, respectively.
Meanwhile, "Abdolnasser Hemmati" has attracted more than one billion dollars of foreign exchange from the market in the two years of managing the Central Bank, the institute said. “While Due to sanctions, more than 80 percent of foreign exchange earnings from the export of oil, gas, and gas condensate has been reduced.”