TEHRAN – Iran’s capital markets regulator said investor confidence has returned to the stock market and plans are in place to list up to 20 companies through initial public offerings by the end of the current Iranian year (late March 2026).

Hojatollah Seyedi, head of the Securities and Exchange Organization (SEO), said restoring confidence had been a prerequisite for deepening the market and expanding the role of the bourse in financing economic growth under the country’s fourteenth government.

Speaking at a ceremony marking the start of trading at Tehran Securities Exchange (TSE), attended by First Vice President Mohammad Reza Aref and Economy Minister Ali Madani-Zadeh, Seyedi said boosting capital formation had been a core objective since September last year, describing it as essential for sustainable economic growth.

He said government policies and support from the president had helped both deepen the market and expand it through new listings, adding that confidence peaked earlier this year.

Seyedi said the market had recovered swiftly from a brief downturn during a 12-day war, noting that losses were smaller than in comparable markets such as Ukraine and Moscow, and that coordinated action by the government, the central bank and market participants helped restore stability.

The bourse has now entered a stabilization phase and should move toward renewed growth, he said.

Seyedi described six-month corporate earnings reports as encouraging and said nine-month results, due shortly, were expected to confirm improving company performance.

He said structural reforms were also under way to ensure fairer and more transparent trading conditions, allowing investors to operate with greater confidence.

Looking ahead, Seyedi said the winter months were critical for the market as the government unveils its budget bill and companies close their annual accounts. He said the minimum trading volume requirement would be scrapped from late December, with exchanges to provide further guidance on closing and opening auctions and price calculations.

Seyedi said the regulator was preparing for the IPOs of at least 15 to 20 companies by year-end, depending on market conditions, and that several new financial instruments would also be introduced.

He criticized price controls as a key concern for listed companies, saying they squeeze profit margins through higher input and feedstock costs. Better planning to preserve corporate profitability would ultimately allow firms to contribute more tax revenue to the state, he added.

The official said recent signals from senior officials had raised optimism among market participants, expressing hope that continued government backing would support the capital market’s role as a driver of economic growth.

EF/MA