CBI to launch ‘soon’ new system for forex market
The Governor of the Central Bank of Iran (CBI) announced that a new system for forex market will begin soon in the near future.
Mohammadreza Farzin added that according to the CBI plan, the new system will determine foreign exchange rates for every currency in a mechanism agreed by forex suppliers and the clients, ISNA wrote.
He emphasized that the exchange rate in the market will be specified by the mechanism of supply and demand, and the CBI will offer part of its forex in that market as efforts will be made to make the exchange rate move in a single channel.
“With the start of the new forex market system, the possibility of currency exchange will be provided to all economic actors,” the governor added. “The CBI will assume the role of supervisor in the market, and will only intervene in the market as a supplier of currency if necessary, implementing its policies.”
Farzin referred to the CBI’s policy on forex as a “floating rate,” stressing that a floating rate does not mean the currency market is uncontrolled. “Central banks in all countries use economic tools to control and manage floating rates, as we will not be an exception in this issue,” he noted.