TEHRAN- The head of Iran’s Securities and Exchange Organization (SEO) stated that the capacities of the country’s capital market are in the services of production growth.
Mohammad-Ali Dehqan Dehnavi made the remarks in a ceremony for signing a memorandum of understanding on cooperation between SEO and the Ministry of Industry, Mining and Trade aimed at financing the production activities through the micro capitals of the people, with emphasis on strengthening the country’s production resources as a capital market priority.
The official said: “Efforts have been made to use all the capacities and facilities of the capital market to boost production, because we believe that the final benefit of this support will return to the capital market.”
New methods of financing should be introduced and new ideas such as crowdfunding should be considered alongside the previous methods, he added.
Elaborating on crowdfunding, the SEO head said that it is a platform and base for connecting micro-savers to small and medium-sized producers, which in fact can be a manifestation of people’s inclusive participation in the economy.
At the end, the official emphasized, “With the special support of the Ministry of Industry, Mining, and Trade from the production companies listed on the stock exchange, we will undoubtedly witness the further improvement of the country’s industrial development indicators.”
Materializing motto of year
Making these remarks by the head of Securities and Exchange Organization clearly indicates that this organization is determined to support domestic production in the present Iranian calendar year (began on March 21), which is named the year of “Production: support and the elimination of obstacles”.
In fact, the SEO considers itself a serious supporter of this motto, as the two keywords of “Production” and “Capital” together consist the base for the national development, and each step to facilitate production will be resulted in expediting the country’s movement toward development.
According to the organization’s head, the capital market, with its inherent potential in the field of financial exchanges, organizing parallel markets, and creating balance in the economic system, pursues the mission of supporting production; and in spite of all domestic restrictions and international sanctions, prevents production stop through leading the liquidity toward productive enterprises.
“Without the safe “supports”, production is usually slow, so the capital market seeks to provide a safe and secure environment for those active in the production sector by constantly injecting liquidity and designing support institutions such as financing companies and planning to avoid wasting resources in unproductive sectors”, the official has stated.
SEO’s main strategies to support production
The SEO head has also expounded upon this organization’s main strategies to support the motto of this year, which is supporting production and eliminating related obstacles, as follows:
Supporting knowledge-based companies along with strengthening the traditional market is one of the tasks that the slogan of the year implies, and any move that shortens the path of producers and consumers depends on the strong support of related organizations, which should have more overlap this year.
Removing obstacles in the path of development is one of the inherent tasks of organizations, and in this regard, the SEO will put the acceleration and simplification of the licensing process at the top of its policies.
Encouraging investors to have a wider presence in the capital market is possible only by removing unnecessary regulations and administrative barriers.
The capital market will emerge as one of the most serious supporters of this year’s motto with strong strategy, identification of obstacles, and offering solutions and operational action to eliminate them.
The SEO hopes to materialize this motto through adhering to the principles of strengthening professional supervision, continuing to improve public confidence, and trying to achieve the goal of “economic development” by relying on the strength of all capital market beneficiaries, including shareholders, investors, financial institutions, publishers, experts and media.