Figures by the Central Bank of Iran (CBI) show that money supply in the country rose by 39.1% year on year in late August to reach the equivalent of more than $142.5 billion.
CBI figures published on Saturday showed that money supply (M3) had reached 39,214.3 trillion rials which would be equal to more than $933.5 billion once calculated on the official exchange rate of 42,000 rials per US dollar.
Money supply had increased by 12.8% compared to figures recorded at the end of the last calendar year in late March, according to the CBI data which were covered in a report by the official IRNA news agency.
Tables cited in the report showed that CBI’s net foreign assets had increased by 29.3% against late August 2020 to reach 4,815.2 trillion rials ($17.5 billion).
Government debts to the CBI was 351.4 trillion rials ($1.27 billion), up by more than 256% compared to March and over 207% against August last year.
Debts owed by state-run and private banks had increased by around 6% against both August last year and March 2021 to amount to 1,242.4 trillion rials ($4.5 billion), showed the CBI figures.
Money in circulation was 819.8 trillion rials ($2.97 billion), up 17.6% against August 2020, while banks’ deposits held in the CBI rose by 47.9% year on year to top 4,339.6 trillion rials ($15.7 billion).
The figures come just days after the Iranian Cabinet appointed a new CBI governor with a mandate to control government borrowing from the lender.
The governor, Ali Salehabadi, a former head of Iran’s stocks and equities regulator, has vowed he would introduce a tight monetary policy to help tame inflation in Iran.
(1 USD= 275,000 RLS)