Mohammadreza Farzin; At the end of the 10th Annual Conference on Resistance Economy, the Central Bank Governor said: Currency and the rial are two sides of the same coin, and when we talk about currency, we are actually talking about silver. Therefore, when we talk about Hamrani currency, we must also consider the Rial rule.
The governance of the rial should be strengthened and the share of the rial should be increased as much as possible, even in the country's trade.
Stressing that Iran is economically open despite sanctions, he said: The contribution of imports and exports to Iran's GDP is very large, which shows that we are a country with an open economy, and for this reason , the country's economy is sensitive to exchange rates.
Farzin said: Iran's relations with the outside world are high, and because of the importance of trade, financial relations with the world are also very high, and because we have an open economy, we are constantly faced with the risk of the effect of exchange rate fluctuations on macroeconomic variables.
The Governor of the Central Bank emphasized: "Before the embargo, the banking system had commercial transactions as its main task and used various tools in this area. In the years before the embargo, most imports came from the place of exchange and we do not have such financial transactions.
During this period, the trade balance and balance of payments have always been positive and we have had no problems in terms of foreign trade and money transfers.
Stressing that before the sanctions, the trend was clear, he added: the banking system was active in foreign trade and foreign trade was carried out at low costs; But the sanctions have changed the country's business plan. After the sanctions, business moved from the west to the east, but the country's financial system is still in the west and has not been transferred to the east. For example, in England we have three banks and this is the case: we don't have much trade with this country; But in China, with this volume of activity, we do not have a bank; That is why we also need to move the financial system to the east, because we are facing problems in this area.
 

The top official of the Central Bank said: “After the sanctions, financial transfers left the banks and we use other tools, more expensive and riskier, and their planning and control have also become more difficult.
He added: Of course, despite all these problems, we are in a good situation and proper institutionalization has taken place and we are using good tools.
The effort of this Iranian think team was to use these alternative tools to maintain trade, all monetary transfers and financial transactions of the country were sanctioned and a new mechanism had to be formed, which did not give any poor results in this area so far. .
Farzin said: The country's trade volume is close to $200 billion, which includes total official and unofficial imports and exports, which shows that the implemented mechanism has been successful to a certain extent.
Fluctuations in these mechanisms affect the country's economy and we must strengthen its stability.
He added: "We have not yet managed to be as specialized in the West as in the East. We have raised this criticism from the beginning and we are trying to resolve it, but despite the sanctions, it is a Little difficult to implement the official system. » Move to this area.
The country's informal system is doing its job; But it is not yet official and we must work to formalize the financial bases of the country.
Iran's proposals regarding BRICS

   Farzin emphasized: Our plan includes reducing our presence in countries that do not have a share of trade and moving to Eastern and neighboring countries. But the share of countries like China and India in global trade has increased, and now that we have become a member of BRICS, we should be able to strengthen our presence in these countries by building institutions.
He added: In the BRICS zone, we have made concrete proposals to expand trade with countries such as Russia, India and China, in order to move towards a common currency and an alternative financial transfer system.
What is wrong with BRICS members having an organization like FATF and SWIFT for themselves?
We have made these suggestions and we are pursuing them. Farzin said: We need to interact with neighboring and eastern countries and increase financial and trade relations, the political platform is the foundation of trade, and on the other hand, even trade itself strengthens political relations, our vision at the central bank is to develop these relationships. Relationships.
The 13th government also announced from the beginning that interaction with regional countries would intensify.
He said: All countries in the world have a large trade volume with their neighboring countries, and we must increase our trade and financial relations with neighboring countries and strengthen these relations, this is one of the necessary conditions for strengthening the governance of foreign exchange in the world. Country. This should also happen in the country.
Channels constantly set their prices, and over time their numbers increase and gain authority in certain locations.
The Governor General of the Central Bank said: I hope that we can transfer this authority to the exchange center and have panels in this center where the parity rate is announced on this panel and the traders and economic activists will base themselves on the rates announced on these signs. their transactions, we will definitely follow these issues and thanks to the good knowledge of the economic team and the country, we can succeed in this area.
We have been constantly threatened in the monetary area, but we have been strengthened
The top central bank official said: Many economists can talk about the country's weak points for hours, but they are unaware that they can talk about the country's economic strengths for a few minutes and when the political dust falls. If political conflicts are reduced, and we can use the knowledge of the country's experts and economists, we can solve many problems.
This is also the case in the area of trade and currency, and we can solve problems by relying on the country's capabilities.
He added: “We have been constantly threatened in the monetary area and, as the Supreme Leader said, we have been strengthened in all areas where we were threatened.”
Currently, we have very good experts who have a fair view of the world and the economy, and using this capacity helps us a lot in solving problems.
Stating that we have managed to maintain our business volume at high levels, Farzin said: We currently have 50 branches around the world and we must constantly think about the development of international relations and we must eliminate limiting factors in order to increase the volume of business: as much as the country can develop its international interactions and financial relations, we can use its profits in the development of the country, which goes back to monetary governance.
He added: There is a trend in the country that constantly weakens and harms the governance of the rial, and there is another trend to which the currencies of many countries have found alternatives. We must therefore stop these flows to control the rial.
The Governor of the Central Bank emphasized: Cryptocurrencies can easily replace the national currency in trading, but in our country, internal legislation and policies impose many social obligations on banks and also impose constraints on them and this pushes people who keep rials to use other currencies.
He added: The Rial should become the ruler and we should not weaken trade with the Rial because the sovereignty of the central bank would be disrupted, that is why we follow the rule of the rial in the central bank. Because the rial should not be damaged, because the entire financial system of the country is based on the rial, and the rial should not be damaged in any way, but we must move in the direction where all the affairs of the country are done with the rial. .
The central bank is the guardian of the Rial border
The top official of the Central Bank, referring to the question that with the proposed offshore rial, we should replace the rial with other currencies in relations with neighboring countries; Because China and Russia also benefited from this experience, he said: We are in the Central Bank of the Marzban Rial and we must strengthen, govern and support the Rial.
He added: the country's main problem lies in the obstacles to governing the rial, not the dollar; Therefore, we should focus on the rial, today the rial has found an alternative and we hear news that guilds are using dollars, bars and cryptocurrencies and proudly announcing it; The judiciary must enter; We are not allowed to use anything other than Rials.
Because the rial must be strengthened and everyone must use it.
Farzin stressed: “All institutions in the country have a role in the governance of the Rial. If the Rial reigns, we can have monetary governance, pursue development goals and increase our commercial level. The Rial must be mentioned in political and economic discussions and analyses." and in a world where there are alternative financial technologies and where we face restrictions due to sanctions, we must find solutions for the centrality of the Rial.
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