Iran: New Interest Rates Unattractive

New interest rates announced by the Money and Credit Council have failed to convince depositors to park their money in banks, secretary-general of the Iranian Private Banks' Association said.
“It should not be expected that money will move toward banks as the higher interest rates are insignificant,” ISNA quoted Mohammad Reza Jamshidi as saying.  
The MCC, Iran’s top monetary decision-making body, decided on Tuesday to raise interest on one-year maturity deposits by 1 percentage point to 16%.
Likewise, interest on two-year deposits was set at 18%. On short-term deposits with 3-month maturity, the rate increased by 2 percentage points to 12%, the Central Bank of Iran website reported.