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.

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In meeting with head of Bojnourd Chamber of Commerce, Turkish diplomat Fatih Topcu said that there are good economic and trade interactions between Iran and Turkey and traders and investors of both states are ready to enhance cooperation.

Topcu pointed to the communalities of Iran and Turkey especially their many cultural commonalities and called for more efforts to make their cooperation become more colorful than before in the economic dimension and it requires all-out investment.

He then pointed to the economic capacities of North Khorasan Province of Iran and said that herbal medicines of this region of the northeast of Iran is considered a very suitable capacity for Turkish investors and this condition should be eased for Turkish investors.

He added that although some Turkish investors are active in the field of saffron and rose flower in North Khorasan but it is not enough.

Topcu went on to say that cultural commonalities between the two states have provided condition for investment for their traders and this opportunity should be used for development of both countries.

He stated that Turkey’s textile and apparel industry since its shaping (in the 16th Century) has experienced many developments and today it is considered not only one of the important industries of Turkey but has made Turkey as one of the biggest exporters in the world.

Then Head of Bojnourd Chamber of Commerce Mr. Saeed Poorabadi, for his part, pointed to the potentials and capabilities of North Khorasan in different fields and said that this province enjoys potential capacities in the fields of tourism, agriculture and mining.

He then emphasized trade exchange between the two states and called for economic and trade cooperation between the two regions more than ever and announced readiness of the chamber for bilateral investments.

He went on to say that the trade volume between Iran and Turkey in 2022 has been over $5b, adding that North Khorasan with population over one million and 9 industrial parks and 9 industrial areas as well as one special economic zone is a good opportunity for investment.

Saeed Poorabadi then added that this province with 115 tourism sites and two national model is a tourism destination in the country.

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