BAKU, Azerbaijan, Jan. 4
The Managing director of the Securities and Exchange Organization said that increasing the prices in Iran's market is one of the negative consequences of Government Intervention in the stock market.
Hassan Qalibaf, the Managing director of Securities and Exchange Organization said that the policymakers generally sets regulations to control inflation, but the sharp increase in prices and the huge profits of intermediaries are the negative consequences of the mandatory pricing in the stock market, Trend reports citing YJC.
He asked the government not to interfere in the competitive market due to its impact on the balance between supply and demand.
“The experiences have shown that most products subject to mandatory prices in the stock market are sold at exorbitant prices,” he said.
Qalibaf went on to say that according to the decree of the Supreme Leader on releasing and organizing Justice Shares, most Iranians have become shareholders of large state-owned companies.
According to him, the repetition of such issues will lead to the loss of public confidence in the capital market, which is seen as a stimulus for the prosperity of national production.
“The mandatory pricing of some products in the stock exchange has caused those companies to lose their profit,” he said adding that it leads to the loss of public confidence in the capital market.