Azerbaijan, Baku, July 25/ Trend M. Moezzi
In a closed session, the head of Iran's Central Bank told the Majlis (parliament) today that the lower currency exchange rate available to travellers will be eliminated.
The tabnak.ir website reports that Central Bank chief Mahmoud Bahmani told MPs only those Iranians travelling to Saudi Arabia for their religiously required pilgrimage (hajj) will be eligible for cheaper government rate foreign currency.
While Iran's official currency exchange rate is 12,260 rials to the dollar, the currency is hovering at more than 19,000 rials on Iran's free exchange market.
Travellers were allowed to buy a limited amount of currency at rates that were cheaper than those offered on the free market. However, Iran's economy is under increasing pressure because of international sanctions that have made it practically impossible for the Islamic Republic to conduct international financial transactions amongst other measures. The cheaper currency rate offered to travellers is now seen as one more route for hard to come by dollars to exit the country.
The head of the Central Bank of Iran (CBI) was at the Majlis to discuss the climbing inflation rate, conditions in the gold coin and currency markets and the currency rate available to travellers.
Mr. Bahmani is joined by Industry Minister Mehdi Ghazanfari, Economic Minister Seyed Shamseddin Hosseini, Minister of Agricultural Jihad, Sadegh Khalilian and Oil Minister Rostam Ghasemi.