INSTEX have no ties with Iran joining the CFT convention!
– After the official inauguration of Europ Union’s Iran related SPV (INSTEX) there were rumours that EU members obliged Iran to join the CFT convention in order for the vehicle to be pragmatic. A thorough read of EU statements show that Iran is only expected to adhere to JCPoA clauses, however, the E3 expect Iran to swiftly implement all elements of its FATF action plan. Moreover, the INSTEX channel will work under the strict scrutiny of CFT and anti-terrorism financing requirements.
– The chair of SEO told the press that as of today there are more than 300 foreign trading code active in Iran Energy Exchange interested to trade what is offering on the exchange, however, it will take time for commodities like crude oil to find its buyers and since oil shipments are larger in size the transportation issue has become a major impediment towards regular offerings of oil on IRENEX.
– Iranian parliament members obliged banks not to penalize customers with compound interest payments on their granted facilities overdue instalments. All Iranian Banks and credit institutions shall impose simple interest on clients facilities instalments and omit the 6% penalty of deferred payments. This will act as an incentive to facilitate the flow of non-performing loans bad debts by easing the reimbursement process. NPLs and doubtful debts are one the biggest issues that Iranian Banking sector is now dealing with.
In the Market
Equities finished broadly lower today as investors digested better-than-expected performance data wrong and relied falsely on speculations around the practicality of INSTEX. TEDPIX (-1.56%) lost another important technical resistance level and closed on 157,355.36. The same happened for the IFEX (-1.60%) and the index closed at the lower edge of the 1,900 channel.
Stocks began the day modestly lower with tickers of Banking ( -2.99%) being on the spotlight as always. After the first half rumours of banks are not to apply a free market FX rate as their currency translation base spread widely amid the market participants which only ended the in a massive sell-off. Just minutes after the market closing bell, Tejarat Bank (BTEJ, -2.49%) released a statement stressing the otherwise. It seems they are now seeking the green light of CBI, officially, in order to start translating their FX reserves with the new rate.
Once again today the market just suffered from a meaningful lack of fresh funds to revive the giants. It seems that investors are now more indifferent towards the economic data and rely mostly on capital assets like gold in order to preserve their assets. The shaky future of the stocks long with every day increasing concerns on the nation’s economic outlook made individuals stay back and watch for a sign.
2019, INSTEX have no ties with Iran joining the CFT convention! ,Sunday, Feb 03 p.1,<https://agahgroup.com>