MP Backs Support Packages to Stabilize Stock Market Amid Wartime Volatility
A senior lawmaker in Iran has voiced support for targeted government and central bank assistance to stabilize the nation’s stock market amidst regional conflict and investor anxiety. Behrouz Mohammadi Najmabadi, a member of parliament’s Planning and Budget Committee, highlighted the dual nature of risks and opportunities during crises, emphasizing the need for coordinated decision-making to strengthen the economy and capital markets. He urged investors to approach the market with caution, emphasizing the potential for informed participation to turn volatility into opportunities.
Najmabadi emphasized the importance of financial literacy, transparent communication, and state support during market downturns, suggesting that Iran’s geopolitical positioning could potentially reshape regional economic dynamics to its advantage. He called for structured support packages for capital markets to be a top priority for economic stability and growth.
Recent efforts by Iran’s Securities and Exchange Organization (SEO) to enhance market liquidity and investor confidence have been well-received. The head of the Tehran Stock Exchange (TSE), Mahamoud Goudarzi, outlined a comprehensive stabilization plan involving direct support for listed stocks, improved fund management, and regulatory reforms to transition the market towards stability and growth.
Market expert Hamid Mirmoayeni noted that while current interventions by regulatory bodies and state-owned enterprises have stabilized concerns around liquidity, sustained investor sentiment hinges on broader political developments. He highlighted the importance of reducing geopolitical uncertainties to attract investment flows back into the market.
The Central Bank of Iran has been actively supporting the capital market through policy decisions and direct interventions. Mohammad Shirijian, the deputy governor of the CBI for financial policy, emphasized the collaborative efforts between the central bank, government officials, and the Stock Exchange Organization to bolster market stability and provide support for investors.