Iran’s banking sector is in urgent need of reform. As the country prepares for the post-sanctions era following last week’s nuclear deal, President Hassan Rohani has asked the Central Bank (CBI) to draw up a reform bill to be reviewed by the cabinet over the coming days.
Iran’s banking sector has been cut off from the international banking system for almost ten years. It suffers from mismanagement, poor accounting and lack of transparency. It is burdened with $30-60bn of private sector non-performing loans, as well as serious cases of embezzlement dating from former president Mahmoud Ahmadinejad’s time in office. (CONTINUED - 1166 WORDS)