Banks do not have the possibility and power to provide facilities with their current funds

Yaser Moradi, an economic expert and the chairman of the board of directors of Sadaret Bank of Iran, presented five operational solutions for “controlling inflation and production growth” through the correction of banks’ mismatches, according to the financial news report, quoted by Tasnim.

In the special news talk program, Moradi, pointing out that curbing inflation in the country is more than anything related to controlling the deviation of liquidity flow and the inevitability of money creation in banks and amending upstream laws and controlling the pressure on banks, five suggestions to achieve the goals of the slogan The year “inflation control and production increase” was presented.

He listed increasing the capital of banks, paying or assigning government debt to banks, creating a development bank to pay long-term facilities to projects, using new banking and financial tools to optimally direct resources to production, and reducing government ownership to solve the chronic problem of banks’ disharmony. .

The Chairman of the Board of Directors of Sadaret Bank of Iran added: Banks do not have the ability and power to provide facilities with their current funds, and the issue of increasing banks’ capital should be seriously put on the agenda from the beginning of the year.

Referring to the demands of the banking system of 300,000 billion tomans from the government, Moradi added: the government’s debt to the banks must be paid or assigned. If the government wants to hand over shares to the banks to pay off their debt, these events must happen more quickly. Otherwise, this debt should be determined so that the 300 thousand billion tomans of banks’ demands from the government return to the cycle of providing facilities and directing it towards production and the economy.

He also pointed out the blocking of banks’ resources to finance long-term projects and added: If people’s and banks’ money is going to be frozen in projects for 5 to 10 years, it is necessary to assign such missions to development banks in the form of assignment plans. Money market means that money and facilities are paid and repaid within one year, not that banks’ resources are blocked and frozen in some projects for many years. We must define a bank as a development bank or provide the necessary resources from the capital market.

Moradi also emphasized the need to use banking tools to optimally direct resources towards production and reduce deviation from this path and said: In order to make sure that bank facilities are given to the real production sector, we must use tools such as factoring or bonds. Step, use electronic bill or domestic letters of credit. This tool helps direct resources to the production department.

The Chairman of the Board of Directors of Sadaret Bank of Iran emphasized: The administration of the government is also one of the things that has aggravated the disharmony of the banks, and therefore the government should intervene less in the affairs of the banks where it is not necessary.

In this meeting, which was accompanied by the presence of economic experts and the chairman of the economic committee of the parliament, Moradi stated that the definition of economic growth is simply the increase in the production of goods and services at a specific point in time, and emphasized: to achieve this goal, two The important factor of technology or investment should be considered more. More economic growth will result in more income for people and more prosperity and comfort for people.

He stated that the 700% growth of liquidity in recent years is if the economic growth rate is one and less than one percent and why the growth of liquidity has not led to economic growth, he said: the necessary source of liquidity for economic growth should be from two To be funded through people’s resources or banks’ resources.

By raising these questions, how is liquidity created in the banking network that has not led to economic growth? Have the banks and economic policymakers not acted correctly? Is the separation of money and capital market not formed? He said: In the budget law, 200,000 billion tomans of debt relief for banks has been considered. Meanwhile, banks have to make a lot of efforts to attract resources at the current cost price, but they have to pay a major part of these resources based on these assignments in the form of loans.

The Chairman of the Board of Directors of Sadaret Bank of Iran added: The point is that the banks hardly attract their resources to respond to these demands, but according to the regulations and laws contained in the budget law and determined by the treasury of the country, “public resources” are available to other banks. does not receive and should be deposited only with state banks or the treasury, but the payment order for this facility is still sent to most banks. This incident adds to the dissatisfaction of banks.

Moradi emphasized: “We have no way to solve the problems other than solving the problem of banks’ disharmony, and the banks’ disharmony will not be solved unless we have a strong policy maker who has sufficient authority and is accountable.”

He said: The difference in the interest rate of deposits and facilities and the inflation rate causes rent. Despite the current inflation rate of 40 to 50%, the deposit interest rate is ultimately no more than 25%, and those who have the power to get a loan use the 30% rent of the difference between the deposit interest rate and the inflation rate. Now, it should be seen who the banks are giving these facilities to, are these payments made by their own authority or with the pressure that comes to the banks, are these facilities paid and spent on certain things?

Saying that we do not have financial inclusion in the banking system and not all people can use bank assets and funds equally, the Chairman of the Board of Directors of Saderat Bank of Iran emphasized: the existing difference between the inflation rate and bank facilities has created a rent which itself is a factor to prevent Growth is production. Some banks pay their subsidiaries instead of spending this facility on production. In the interbank market, sometimes up to 10,000 billion tomans of facilities are paid overnight, and by observing it, it can be seen that many real estate projects have been spent, whose profitability is 100 to 200%, and it is economical, for which in the interbank market, the profit is 25%. to be given. Instead of spending on production and growth, this money is invested in unorganized markets such as housing, currency and coins, etc., which definitely does not help the growth of production.

He paid attention to the many pressures on the banking system and added: The pressures on the banks prevent them from being able to collect their claims on time. The country’s banking network is definitely seeking to support production, but in recent years, unfortunately, problems have been created in the name of production and for the sake of abusers, and the resources that belong to the general public have been frozen by some people, and part of it has been frozen by the government itself. has been The demands of the banks from the government have caused that its resources do not return to the banks and do not increase the lending power of the banks and do not even turn into bonds that have the power of exchange in the secondary market. Some of these have been frozen and turned into real estate and unfortunately cannot be sold for some reason. At the same time, banks are obliged to grant facilities to these companies.

He added: Also, during the collection of claims, banks face some obstacles that do not have the right to close down, acquire and unload the debtor’s unit, and these rules prevent these resources from entering the production cycle. At the same time, in the form of privatization, we are also facing small and large shareholders of these banks. Therefore, in total, there are only one or two banks that are completely private.