Reporting "Asre Bazar", former CEO of the Iran Fara Bourse Mostafa Omidqaemi admitted that optimistic forecasts for the banking industry earlier this Iranian year did not come true.
He said banks have been in bad situations in the past months, causing troubles in the stock market.
Financial authorities hoped that sanctions lifting given to Iran as a result of the 2015 nuclear deal would help those commercial banks having lower non-performing loans grow.
“The forecasts didn’t come true simply because of a series of new regulations imposed on them by the Central Bank of Iran,” he said, referring to the CBI’s tougher stand against banks releasing financial statements that do not comply with international standards.
CBI officials have banned several banks from trading stocks in an effort to make them release their statements in a more transparent way. The banks whose sticker symbols have been closed in the equity market have had a loss in the recent past, affecting the main index of the Tehran Stock Exchange.
“The situation will be temporary,” Omidqaemi said. “Banks will be back in business in the coming months.”
He noted that the stocks of commercial banks have always been more popular than those of other industries listed in the stock market,.
He also predicted that prices of some basic materials will grow in the upcoming year, given a prospect of rising oil prices.
Meanwhile, he rejected reports that petrochemical industry might exit the IFB market, saying, “the market has been the most reliable and transparent place for trading petrochemicals.”
Source: SENA