Iran considers dollar in budget bill below 12,000 rials

Iran Materials 30 January 2012 15:39 (UTC +04:00)

Azerbaijan, Baku, Jan. 30 / Trend F.Milad/

Iranian President Mahmoud Ahmadinejad proposed to consider the dollar price in the next calendar year's budget bill below 12,000 rials, IRNA news agency quoted Finance and Economic Affairs Minister Shamseddin Hosseini as saying.

According to the article 52 of the Constitution, the next year's budget bill should have been submitted to the Majlis by December 6.

Iranian Majlis Speaker Ali Larijani said on January 15 that Iranian President Mahmoud Ahmadinejad's administration violated the law by delaying the submission of the next year's budget bill.

Iran fixed the rial rate at 12,260 to $1 as of Jan. 28, seeking to meet all demand for foreign currencies through banks, Mehr news agency quoted central bank Governor Mahmoud Bahmani as saying.

People will no longer need to use free markets to access dollars with the modified policy," Bahmani added.

The decision followed an announcement on January 25 that the interest rate paid on rial savings will be raised.