The absence of attorney’s fees for the cash settlement of Rials

According to the report of Iran Economist, in order to expand and facilitate the use of financial instruments in the country’s banking network, the National Bank of Iran (National Bank of Iran) is authorized to act on behalf of central bank Proceed as follows regarding the supply of “Central Bank Currency Certificates”:

1- The issuer of the bonds is the central bank through the agent bank.

2- Named bonds can only and originally be purchased by Iranian natural persons over 18 years of age, and their issuance and maturity date will be 8/25/1401 and 11/25/1401, respectively.
3- The minimum and maximum purchase amount of bonds by any natural person is equivalent to 1000 dollars and 4000 dollars, respectively. In addition, due to the limitation of the supply of banknotes less than 100 dollars, the amounts of the aforementioned Mudarabi certificates can be sold and redeemed from the Rial equivalent of 100 dollars.
4- The payment of the bonds at the time of publication will be in Rials only.
5- The central bank acts as a proxy for the bond buyers to provide currency (dollars) and keep it until the maturity of the bonds.
Note: Bonds can be redeemed by the agent bank on behalf of the central bank before maturity according to paragraph (9).
6- Holders of bonds at maturity can choose one of the following methods:
a) Paying the attorney’s fees mentioned in the note under this paragraph and receiving currency notes (dollars) from the bank
b) Cash settlement (riyals), in which case no attorney’s fees will be charged.
Note: The attorney’s fee rate will be equal to seven percent (7%) of the Riyal amount at the time of maturity mentioned in paragraph (7).
7- The calculation basis for determining the amount of Rials at the time of redemption, maturity and issuance of bonds is the closing rate of the previous day’s agreed dollar (bill).
Note: The closing rate of the previous day’s agreed dollar symbol (bill) of the foreign exchange trading market (the weighted average of the previous day’s agreed dollar symbol transactions) can be viewed on the information base of the Iranian Foreign Exchange Trading Market Management Company at the address www.ice.ir.
8- The agent bank is obliged as After making the necessary coordination with the foreign exchange operations department of this bank, deposit the rial resources obtained from the sale of these bonds to the accounts introduced with the rial transactions department of the Central Bank.
9- In case of the bond holder’s request to buy back the bonds, the acting bank is obliged to settle the account with the bond holder on the same day according to sub-section (b) of clause (6) and based on the arrangements of clause (7).
10- In case the owner of the bonds does not appear on the due date, the agent bank is obliged to calculate the rials resulting from the settlement of the said bonds based on the provisions of (b) clause (6) and clause (7) and to the rial account of the person who bought the bonds at the time of purchase. Introduce and deposit.
11- After settling the account with the bondholders on the due date or before it according to the arrangements of clauses (6) and (7), the operating bank is obliged to send the transaction report in order to collect the funds paid to the bondholders from this bank. Apply weekly to “Forex Operations Department” (Monday every week). The enforcement arrangements of this paragraph will be notified by the said department.
12- The operating bank is obliged to notify the relevant information to the foreign exchange operations department in order to receive the Riyal and foreign currency amounts paid to the bond holders at maturity (according to the arrangements of clauses (6) and (7)).
13- Papers that are the subject of this circular based on Article (29) of the Rifa Law Production barriers competitiveness and improvement of the country’s financial system will be exempt from taxes.

14- The agency fee of the acting bank for the sale, redemption and settlement of bonds will be determined collectively and subsequently calculated by the general accounting and budget department and deposited into the account of the acting bank.

15- Bonds are offered and redeemed through the SIMA system belonging to the Central Bank of the Islamic Republic of Iran, and it is not possible to carry out secondary transactions of bonds.

Also, providing the provisions of the regulations as described in the above paragraphs to the buyers of the bonds, “Affidavit of Commitment to the Central Bank’s Certificate of Exchange Bond Regulations” is also obtained from them as follows: / The final settlement as well as the guarantee of executions based on non-compliance with the requirements contained in these regulations are aware and all cases are accepted.

end of message/