When we had 8 different prices in the currency market
According to Iran Economist From Iran Economic newspaper, Abdul Naser Hemmati, who is still in the atmosphere of the presidential elections of 1400, tries from time to time to destroy the 13th government in the form of publishing articles.
Hemti said in his latest statement: “Yesterday’s plaintiffs and today’s government and parliament trustees, why are they silent these days about multi-currency rent in recent months?”
Hemmati opposes the multi-rate system of the currency in the situation that studies show that in the current situation, the currency system of the country has only three rates, while during the period of responsibility of Abdul Nasser Hemmati as the head of the central bank, in terms of multiple exchange rates, there were eight prices for the dollar rate. had In other words, currently the only remittance rate of basic goods which is on average 28,500 Tomans in the corridor, ETS banknote and ETS remittance are the three reference rates of the country’s foreign exchange market, and it can be said that the main foreign exchange needs of the country – more than 95% of foreign exchange expenses – are based on these three The rate is ensured and with the initiative of Mohammad Reza Farzin and the establishment of the currency and gold exchange center by him, a single market was created for the supply and demand of foreign currency of exporters and importers.
These days, Hemmati criticizes the creation of rent due to the three-rate system, while the examination of the multiple rates of the currency system during his period shows that during the years of Hemmati’s responsibility as the head of the Central Bank, there were eight different prices in the currency market. In other words, Hemmati, who today criticizes the three-rate system and considers it a distribution of rent, seems to have forgotten that when he was the head of the central bank, he had set eight different rates for the currency market. Preferential currency (4200 Tomans), Nima Hawala, Sena Hawala, Sena Banknote, Sena Bill Instant, ETS Banknote, ETS Banknote and Bazar Bank Bill are the eight rates that dominated the currency market during the years of Hemmati’s tenure.
If the multi-rate system, according to Hemmati, is the distribution of rent, in addition to the title of the Sultan of Money Printing, which is attributed to him due to the record increase in the volume of liquidity during Hemmati’s tenure, we can also add the Sultan of Foreign Exchange Rent to his portfolio. Of course, it is important to mention that in the economic literature, based on the conditions of different countries, a single exchange rate system is not necessarily preferable to a multiple exchange rate system, and it is not the case that there is only one exchange rate in the market, but from this point of view, the Hemmati period It is worth noting that, first of all, he is a critic of the multi-rate system today and claims to distribute rent, and secondly, the high frequency of exchange rates, which were determined by the central bank in the form of eight different headings in that period, made it possible to create rent and corruption in the way of currency allocation. It caused serious damage to the economic structure of the country.
In the 13th government, it was tried to provide the main foreign exchange needs of the country in the form of three rates, and the multiplicity of exchange rates in the currency system took a serious distance from the 8-rate system and was reduced to three rates.
Of course, in addition to the high frequency of exchange rates during the Hemti period, the distribution of preferential currency rent of 4,200 tomans through two main channels caused serious damage to Iran’s economy. First, with the distribution of this rent and the failure of the government’s foreign currency subsidy to the end consumers, the inflation of goods subject to the currency of 4,200 tomans was not controlled, and due to the economic benefit of imports over production, domestic production also suffered serious damage.
On the other hand, because the foreign exchange reserves of the central bank are one of the sources of monetary base and the central bank used to buy dollars at a higher price and sell them to importers at a rate of 4,200 tomans to provide the preferred currency at different times, causing an increasing increase in the volume of liquidity and imposing high inflation. and went to the country unbridled.