Iranian Banks More Inclined to Borrow From Interbank Market

Banks have significantly cut borrowing from the Central Bank of Iran as the numbers declined more than 40% compared to the same period last year, the CBI governor said.
Instead of borrowing from the CBI, Abdolnasser Hemmati said lenders have been meeting a big portion of their need for liquidity from the interbank market.
“Very promising news indeed. Lenders in recent months have sourced their short-term needs for liquidity mainly from the interbank market,” Hemmati wrote in an Instagram post on Tuesday. 
Interbank market is a market in which banks lend to one another for a fixed term. Most interbank loans are for maturities of one week or less, the majority being overnight.