Stabilizing the foreign exchange market and enhancing its predictability are the foremost demands of Iran’s private sector from the Central Bank, according to Samad Hasanzadeh, the president of Iran Chamber of Commerce, Industries, Mines, and Agriculture (ICCIMA).
The remarks came during a joint meeting of the ICCIMA board members, heads of the regional chambers of commerce, specialized commissions, and economic organizations with Mohammad Reza Farzin, the governor of the Central Bank of Iran (CBI).
The Iran Chamber of Commerce president emphasized the need for a stable and predictable exchange rate to enable economic planning.
Hasanzadeh noted that retaining Farzin as the CBI governor sends a clear message of continuity in monetary and exchange rate policy. He praised the Central Bank for successfully managing exchange rate volatility despite heightened international pressures and external uncertainties.
Mandatory lending obligations have constrained banks’ ability to finance production units, creating challenges in meeting payrolls and securing raw materials, particularly towards the year’s end, he said, calling on the Central Bank to support economic actors in addressing these challenges.
During the session, Farzin outlined new foreign exchange policies aimed at streamlining currency operations, noting that the Central Bank is working on a framework where foreign currency will eventually be traded within a regulated agreement or exchange market which he believed would provide clear signals to the market.
Farzin acknowledged liquidity constraints faced by production units and announced plans to address the issue. “We intend to allocate 2,000 trillion rials in loans to small and medium-sized enterprises,” he stated.
The meeting underscored the importance of collaboration between the Central Bank and the private sector in navigating economic challenges and fostering market stability.
