IFB witnesses 28% monthly growth of its index

June 24, 2020 - 12:44

TEHRAN- IFX, the main index of Iran’s over-the-counter (OTC) market, known as Iran Fara Bourse (IFB), rose 28 percent in the third Iranian calendar month of Khordad (May 21-June 20), IRNA reported.

The index has also risen 115 percent since the beginning of the current Iranian calendar year (March 20).

IFX stood at 14,180 points at the end of the third month.

Also, the value of trades at the IFB experienced a growth of 24 percent in the third month, while rising 108 percent since the year start.

As reported, 45.582 billion securities worth 942.612 trillion rials (about $22.44 billion) were traded in the IFB during the third month.

IFB is one of the four major stock exchanges of Iran, the other three exchanges are Tehran Stock Exchange (TSE), Iran Mercantile Exchange (IME), and Iran Energy Exchange (IRENEX).

IFX had also risen 29 percent in the second Iranian calendar month of Ordibehesht (April 20-May 20).

The index stood at 11,113 points at the end of the second month, while its performance registered a 69-percent growth since the beginning of the current Iranian calendar year.

The past Iranian calendar year (ended on March 19) witnessed a very fruitful performance for the country’s capital market.

As TSE Head Ali Sahraei has announced, the value of trades at the Tehran Stock Exchange jumped 2.6 folds, while Return on Investment (ROI) reached 180 percent in the previous year.

While growth and development in the Iranian capital market have been started in recent years, the previous year was in fact a time of flourishment for the country’s stock exchanges.

Different factors contributed to the past year’s prominent success in the capital market.

One important factor was proper ground laid in the stock market and providing better conditions for traders.

The other factor was the status of parallel markets, such as those of foreign currency, gold coin, and housing in the past year that made making investment in the capital market an obviously better and more profitable choice for the investors.

And now despite the economic condition created by the coronavirus outbreak, the Iranian capital market is experiencing more growth in the current Iranian year.

In a press conference on Monday, the head of Iran’s Securities and Exchange Organization (SEO) announced that the amount of liquidity absorbed by Iran’s capital market has reached 500 trillion rials (about $12 billion) during the first quarter of the current Iranian calendar year (March 20-June 20).

Hasan Qalibaf-Asl also said, “It is while the total amount of liquidity entered into this market stood at 300 trillion rials (about $7.14 billion) during the past year.”

The official further noted that the high amount of liquidity that is entering the capital market has provided some good opportunity for this market, as it’s being developed and flourished; for the enterprises, as they’re securing their required funds, and also for the government.

Mentioning the prosperous status of the capital market in the present year, Qalibaf-Asl underlined that the current status of this market is not at all comparable with that of the past three years and even the previous year.

MA/MA

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