Currency that was not converted into Rials for the stock exchange!
According to Tejaratnews, the continuous declines in the stock market index last year, forced the officials to take various decisions to balance the capital market, and one of these decisions was to inject resources of the National Development Fund into this market.
In this regard, in late September of last year, Hassan Qalibaf Asl, the former head of the Stock Exchange and Securities Organization, announced that the organization was pursuing the final transfer of one percent of the resources of the National Development Fund to the Market Stabilization Fund.
Of course, this was vague from the beginning, and officials in the stock exchange, the Ministry of Economy and the National Development Fund, or the board of trustees of the National Development Fund, did not explicitly say where and to what extent these resources would be provided and injected into the stock exchange. And what is the process after the licenses are issued, and they only agreed and resolved the ambiguities and promises of each week to transfer resources.
Injection of 2000 billion tomans into the stock market
Finally, Mohsen Khodabakhsh, the former director of stock exchange supervision of the Exchange Organization, announced that the Exchange Organization, as the custodian of the market, will follow up with the injection of one percent of the National Development Fund through all sources, and the first allocation of resources will enter the stabilization fund.
Of course, Khodabakhsh emphasized on injecting the mentioned resources in several phases and said: the figure that should be injected into the stabilization fund in the first phase is equal to 2000 billion Tomans.
Challenges of implementing the resolution
This story had many challenges from the first day. For example, the National Development Fund announced that it will not be given to the stock exchange from foreign exchange resources and the stock exchange will have to wait for Rial resources. The National Development Fund later announced that the scholarship holders did not pursue the injection of resources at all, although the scholarship recipients on the other side of the story denied this claim and announced that the injection of resources was being pursued.
In any case, almost no details of resource injection are available. The only available statistics have been announced by Ebrahim Aghababaei, former head of the Market Development and Stabilization Fund, which shows that by July 1 of this year, 2034 billion tomans (1000 billion tomans in the 5th of December last year and 1034 billion in May of this year) have been injected. Is.
No conversion of currency into Rials
Despite all these issues, Majid Eshghi, the head of the Stock Exchange and Securities Organization, has stated in his latest comment on the decision to inject resources from the National Development Fund to the Capital Market Stabilization Fund: This decision is being followed up. Of course, part of it has been injected and we try to inject these resources continuously and every year into the stabilization fund. The government has a policy of not converting the currency of the National Development Fund into rials and injecting resources from the rials that have already been converted into the stabilization fund. But in my opinion, with the return of trust and stability to the capital market, we will not need the fund’s resources. Although the Market Stabilization and Development Fund enters where it is needed, the effort is to have the least presence so that the market can return to normal.
It seems that the National Development Fund is still struggling to convert foreign exchange resources into rial resources. This is while the capital market is moving on a negative slope and many experts believe that the sales side is not strong in the market, but because there is no liquidity in the market and there are no resources in the market, the movement of indices is declining.
Source: ایسنا