Business And Markets

Iran: No Need for so Many Bank Branches

Iran: No Need for so Many Bank BranchesIran: No Need for so Many Bank Branches

The unusually high number of bank branches has long been a source of concern for both economic experts and government officials, giving rise to calls for cutting the number of barely used and costly branches. 
Mehdi Farshadan, an MP, says banks should avoid setting up branches and instead focus on improving and expanding online banking. 
“With new technologies there is no need to open new branches,” he was quoted as saying by IBENA. 
“To enhance their agility, banks should get rid of their surplus assets,” the lawmaker said, echoing the views of experts across the spectrum that the country simply does not need so many banks and branches, especially when the economy is in dire straits. 
In the same vein, Abbas Memarnejad, the deputy economy minister for banking, insurance, and state-owned companies’ affairs called for accelerating the process of reducing the number of bank branches. 


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