The chief executive of Bank Refah said limited overseas operations and rising inflation driven mainly by the recent currency crisis will pose major challenges to the banking sector in the coming months. “Lenders will face the two main challenges of reduced international activity of Iranian banks and the impact of rial’s depreciation on inflation toward the end of the current Iranian year [March 20, 2019],” Mohammad Ali Sahmani also told the Persian daily Donya-e-Eqtesad in a recent interview. “They threaten Iran’s banking industry with dire consequences, including severance of relations with high-profile global lenders, disconnection from the Society for Worldwide Interbank Financial Telecommunication and difficulty in procuring hardware and software equipment in international markets,” he added. SWIFT is a platform that enables financial institutions across the world to send and receive information about transactions in a standardized and secure manner.
Add new comment