The 4th Iran Transaction Exhibition opened on Tuesday at Goftegoo Park in Tehran. This year’s edition, known as ITE 2018, is being held under the theme of ‘Transaction Against Sanctions’, a reference to the new sanctions the US administration has announced against Iran’s key economic sectors.
During the inauguration ceremony, the head of FABA—a government-owned center for promotion of e-banking and professional training—said although the sanctions will have harmful effects on the banking industry, software, hardware, international transactions and financing, the nation in its entirety is trying to find workable alternatives to bypass the unjust restrictions.
Ebrahim Moqadam said some of the solutions now under review include using cryptocurrencies, establishing a barter system with neighboring countries, and using borders exempt from sanctions (such as Chabahar Port in southeast Iran) for trade with the region and beyond.
Banks, payment companies, financial technology corporations, startups, fintechs, and municipalities in the major cities plus representatives from foreign companies are attending the three-day event.
The banking industry’s resilience during the long years of sanctions is a major subject being explored at the expo. In addition, looking at alternative plans for businesses in the face of fresh restrictions is also high on the agenda.
In restoring the second round of sanctions on Nov. 5 (the first was in August), the US Treasury added 700 Iranian individuals and entities to its list of Specially Designated Nationals (SDN) list which includes almost all 51 Iranian banks and credit institutions.
Later however, the treasury removed several banks from both the SDN list and its secondary sanctions.
Mohammad Morad Bayat, secretary general of ITE, in a speech emphasized the role and significance of the private sector.
“Private enterprise should be trusted, especially in the technology spheres. Reliance on the public sector will not lead to sustainable development,” he said, adding that Iran is striving toward e-banking based on modern technological platforms.
Holding such exhibitions under current conditions is a risk, Bayat said, noting that many MoUs had been signed with foreign institutions in the field of e-banking prior to US pull-out form the nuclear deal and many foreign firms had plans to start their activities in Iran. “However, with the new sanctions coming into effect, they got cold feet.”
Bayat said the expo has the potential to be held twice a year “due to the rapid pace in technological progress in the world.”
Need for Technology Advance
Mostafa Kavakebian, a member of the Majlis National Security and Foreign Policy Commission, appealed to policy and decision makers to rethink their traditional and ineffective approach to technology and digital tools, adding that the country will not reach its Vision 2025 goals if the current trend persists. He called for placing “emphasis on action not slogans.”
Echoing similar views, the head of Information Technology Organization of Iran, Amir Nazemi, said the banking sector’s survival is linked to embracing new (modern) players compatible with changes in people’s behavioral patterns. He regretted the fact that “new players have not been welcomed in the sector so far.”
Referring to strong role of the US in computer and electronics in the world, Abolhassan Firouzabadi, secretary of the High Council of Cyberspace, said major hardware and software companies are American and the US has always tried to dominate the world of computer technology.
“Regarding platforms in banking and media, the US again is trying hard to take the lead.”
Similar to the views of academia and respected experts, he said the economy will not make progress without innovation. Industrial stakeholders cannot meet the nation’s demands in the current climate and “That is why electronic services companies are being formed.”
The HCC chief said blockchain technology must be given serious thought as a means to ease money transfers.
“We should come up with varieties of transaction tools because not only has the US imposed unfair sanctions on us but also has threatened countries and companies wanting to preserve relations with us,” Firouzabadi said.
Iran Transaction Exhibition’s ultimate vision revolves around turning Iran into the hub of technologies of financial and banking industries in the Middle East.
The three-day event is organized by FABA and will include seminars, workshops and public debates.
