According to the company’s CEO, Mahmoud Shekasteband, the decision was made following a Saturday meeting with the governor of the Central Bank of Iran, Abodolnaser Hemmati, to allow smaller money changers to participate in the new market.
High membership fees was one of the concerns of money changers they talked about during a meeting on Wednesday to discuss the mechanism of the regulated forex market in the run-up to its inception, according to Financial Tribune.
The decision to reduce the fees was made jointly by the CBI, board members of the regulated forex market and Association of Bureaux de Change Operators of Iran, Tasnim News Agency reported.
Board members of the market comprise the Association of Private Banks and Credit Institutions, Association of Bureaux de Change Operators, representatives of public banks, Iran Fara Bourse (over-the-counter market for securities and other financial instruments).
Trade in the regulated market will be processed by authorized exchange offices and agent banks that operate as brokerage within the regulated market.
It is said that the market will deal in wholesale currency in banknotes with exchange bureaus and banks under CBI oversight.
The CEO said earlier that the regulated market will function as an intermediary between money changers and forex buyers.
Currency so far has been traded in a limited manner in money exchange shops and the so-called integrated forex deals system known as Nima, which is a platform for exporters and importers to buy and sell currency.
Shekasteband said more than 70 exchange bureaus had opened accounts as part of formal requirements for money changers to be able to operate in the market.
The CBI has obliged exchange offices that operate in the market to open two accounts, one forex-based and the other rial-based.
As per earlier reports, a monitoring body within the regulated forex market will have access to the accounts and allow transactions only if there is equivalent amount in the account. In other words, trade orders will be based on the balance in the said accounts.
The CEO did not give a timeline for setting up the market, but did say it would start work within a week.