Tehran, Iran, August 16
By Mehdi Sepahvand –- Trend:
Iranian authorities have agreed to limit the trade of governmental bonds to the Tehran Stock Exchange, according to Hossein Abdoh Tabrizi, former head of the TSE and a current member of the Iranian Securities and Exchange Commission.
“We toiled for years so that different bonds, especially governmental ones, would be sold at TSE,” he told Trend August 16.
“I suggested to my colleagues that the governmental bonds, regardless of their rates, be sold at TSE. Nonetheless, my idea was not favored by the majority and was not passed.”
“They decided to keep some of the bonds at the TSE and leave the rest to be sold on the street. It was a bad decision which led to unsuitable rates,” Tabrizi noted.
However, he added, “They have now changed their minds and things are going to go back to the way they should have been, which will happen as soon as possible.”
Over the past months authorities expressed concern over the trade of bonds that was neither carried out by the TSE nor by banks.
“This is becoming embarrassing,” Over- the-counter Market CEO Amir Hamooni said in May 2017.
Reports suggest, that many of the bonds traded on the street are old bonds, that have remained at the banks and which the government has been unable to liquidate in due time.