Parliamentarians have approved a law that makes the Ministry of Economic Affairs and Finance the sole supervisor of banks and credit institutions. According to the new legislation, banks and credit agencies excluded from penalties will be those that abide by Central Bank of Iran and the Securities and Exchange Organization directives. These institutions must relinquish their control of their non-banking assets. The new law would allow the CBI to better control the flow of funds moving through the credit institutions and ban unlawful financial transfers. Banks and institutions are liable to pay stringent fines if in non-compliance with the new measures. The economy ministry will also review the banks and financial institutions accounts on a revolving three month basis and report to the economics, planning and budget commission of the parliament.
