Economy, Business And Markets

IPO Says Making Progress

IPO Says Making ProgressIPO Says Making Progress

The Iranian Privatization Organization sold over 1.69 trillion rials in stocks from government owned companies during the first five months of the current Iranian year (March 20-August 21). Over 91% of the $47.7 million worth of shares was sold to institutional investors in large lumps giving them positions on their boards, the Securities and Exchange News Agency (SENA) reported. Iran’s economy is heavily controlled by the government. In the late 2000s the government started selling its business holdings to the public in an attempt to downsize and move towards a market economy. The privatization attempts were poorly executed, leaving the economy worse off than before, as ownership moved from the government to quasi-state organizations. The administration of President Hassan Rouhani slowed down the controversial privatization process after it took office in 2013 with the aim of revising the process that has often come under the strong criticism of respected economic experts and independent market observes.