Business And Markets

A Closer Look at Bank Mergers in Iran

Finance Desk
A Closer Look at Bank Mergers in Iran
A Closer Look at Bank Mergers in Iran

A senior former banker says the planned merger of five banks affiliated to the armed forces with the government-owned Bank Sepah can be a step in the right direction in that it would cut costs.
Ahmad Hatami Yazd, a former chief executive of Bank Saderat Iran, however, warned that if the government resorts to the central bank for reimbursing depositors of the five lenders, it would entail great risks for the economy.  
The Central Bank of Iran said earlier this month the merger of Bank Sepah with five banks and credit institutions affiliated to armed forces with Bank Sepah is in the making.  


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