All Genuine Traders Welcome Currency Unification

TEHRAN (Iran News) Seyed Fakhruddin Amerian praised the government’s move to implement a single exchange rate system, stressing that for the policy to succeed, the exchange rate must have only one price, with no distinction between official (government) and free-market rates.

Amerian said the policy would ultimately improve Iran’s economic conditions as well as its import and export sectors. “With a single exchange rate, traders will be forced to import higher-quality goods and engage in healthy competition,” he noted. “Previously, when preferential currency was allocated, some importers brought in low-quality goods, and consumers had no choice but to buy them. This allowed a small group to earn excessive profits.”

He acknowledged that problems are likely in the first few months of implementation, adding that the public—especially lower-income groups—may face temporary hardship. “However, after this initial period, conditions will certainly improve, and we will see quality goods supplied at reasonable prices,” he said.

Amerian also pointed out that the government should have taken preventive measures before rolling out the policy to avoid shortages of essential goods such as cooking oil. “If basic commodities had been sufficiently supplied to the market beforehand, we would not have witnessed shortages and the resulting multiple-fold price increases,” he said.

The economic activist emphasized that all genuine traders support the policy, expressing hope that those who benefited from preferential currency allocations would not pressure the government to reintroduce multiple exchange rates for certain goods.

He explained that since the introduction of the 4,200-toman exchange rate in 2018, a small group of beneficiaries had made substantial profits without concern for consumers or market competition. “They could sell any product, and people were forced to buy it. In some cases, they even engaged in pre-sales. With exchange rate unification, these excessive profits will disappear, and they will have to compete fairly with other traders,” he said.

Amerian reiterated that exchange rate unification is a major and correct decision by President Masoud Pezeshkian’s administration, even though it should have been implemented years earlier. “Mr. Pezeshkian has taken on a difficult task,” he said, adding that both the government and the public must tolerate several months of difficulties, pressure, and even obstruction for the policy to succeed.

He added that once the exchange rate is unified, Iran’s market will function like those of other countries, and the smuggling of essential goods from border provinces to neighboring countries will decline. “In recent years, people from neighboring countries came to our border cities to buy goods at much lower prices than in their own countries. This led to the loss of national resources and foreign currency and left no room for exporting those goods,” he explained.

In closing, Amerian expressed hope that the planned $12 billion to be distributed among the public would be allocated fairly to lower-income groups, so that people can quickly experience the benefits of the policy and take advantage of its positive outcomes.