Friday, August 25, 2006

Managing director of the Islamic regime’s central bank dismissed

Iran Press News: translation by Banafsheh Zand-Bonazzi.
The regime-run site BAZTAAB reported that after months of speculation and fluctuating news, Sheibani, the managing director of the Central Bank, will finally step down. One of the professors of Beheshti university will take over as his successor. The annual central bank meeting that should have taken place in July was cancelled and it was from there that the rumors of a change in management escalated.

This report indicates that after that Sheibani’s differences with the economic team of the regime intensified and the issue that caused the deepest rift was the reduction in the bank interests and the rate of inflation.

It is worth mentioning that Ahmadinejad ordered to reduce bank interests, convinced that that took precedence over the reduction of the inflation rate and that after that by reducing the interests, the inflation would automatically stabilize. Sheibani disagreed with this decision and clearly stated that if anything, in fact the opposite would have been true.