The exchange rate should be controlled according to domestic and foreign inflation

According to Iran EconomistHojjat-ul-Islam Gholamreza Mesbahi Moghadam stated at the 30th conference of monetary and exchange policies: what gives credit to money is the law and the government, and in my opinion, money should have a return in order to enjoy stability of purchase.

Stating that money is a measure of value and should not fluctuate, he added: The government is responsible for maintaining the value of the national currency and the central bank is responsible for determining the amount of money.

The member of Expediency Council said: Money creation management by applying capital adequacy regulations and legal capital rate should be done by the central bank.

He continued: “Managing currency demand and preventing capital flight is the responsibility of the Central Bank, and banning the supply of currency outside of exchanges is a measure that must be implemented.”

Mesbahi Moghadam stated: Controlling the exchange rate and managing the fluctuations of the currency market should be done by the central bank in accordance with the domestic and foreign inflation rates and maintaining the value of the national currency.

The head of the Jurisprudence Council of the Central Bank said: It is necessary to remove the US dollar from domestic and foreign exchanges, and this can be implemented by concluding financial and monetary agreements.