Banker: Ensuring liquidity - main challenge for Iran’s Central Bank
BAKU, Azerbaijan, Oct. 28
By Elnur Baghishov - Trend:
The main challenge for Iran’s Central Bank is to ensure the liquidity of industrial facilities and to promote sustainable and non-inflationary growth, the bank’s governor Abdolnaser Hemmati wrote on his Instagram page, Trend reports Oct. 28.
Hemmati noted that Iran’s Central Bank is trying to prevent an undesirable increase in liquidity, adding that he is committed to taking the necessary steps to protect the production process and boost economic development by ensuring the working capital and financial needs of the key manufacturing sectors.
“Last Iranian month [August 22-September 22], the monthly inflation fell by 0.6 percent,” Hemmati said. “However, in the last month of the last Iranian year [February 20-March 20], the monthly inflation was 5.6 percent.”
The Iranian banker said that the relative stability of the foreign currency market in Iran, the provision of foreign currency through the NIMA (Forex Management Integrated System) and the positive pace of development of the non-oil economy are signs of a return of hope for the Iranian economy.
As a result of devaluation in Iran last summer, the price of $1 in the black market increased from 35,000 rials to over 200,000 rials. Later, as a result of the intervention of the Iranian Central Bank, the exchange rate of the US dollar decreased. Presently, $1 equals to 112,000 rials in the Iranian black market.