TEHRAN, Iran, Apr. 28
Trend:
The Securities and Exchange Organization of Iran has provided 10 suggestions to reform the local stock market, said the head of the organization Ali Dehghan Dehnavi, Trend reports via Fars News Agency.
"So far three of these ten suggestions were approved by the government and the remaining suggestions would be approved by the Economic Cooperation Council, after the government's approval," said Dehnavi, Trend reports citing Fars News Agency.
"Following the drop of stock index in recent months, the Securities and Exchange Organization has provided the suggestions to the government on how to reform the market," he said.
Dehnavi mentioned the buyers of the first ETF from the government, and which had losses due to drop of stock market index. The suggestion for them was to have the government to compensate the losses through provision of new units in the same ETF of from other ETFs as sort of a reward share.
"Previously, the investment companies were banned from obtaining bank advances to buy shares, but it has been agreed that the ban would be removed and these companies could work with investments using bank advances," he said.
"It has also been approved that foreigners that have attempted to buy shares from Iranian stock exchange, would have a five-year residency permit," he said.
"Other seven suggestions were sent to the Supreme Economic Cooperation Council to be approved that some of them include using taxes from share trade in the current Iranian year (started March 21,2021) in market stabilization fund to support the market, encouraging stock companies to develop investment from their profit and be exempted from taxes, according to their investment," he said.