The Incoming Resources to The Capital Market as A Chance to Keep the Purchasing Power

In the previous months and weeks liquidity rush in the Capital Market was observed; so that the value of stock market has now reached more than 7.143 Quadrillion Rials.
The Privatization Organization PR - According to Securities and Exchange News Agency (SENA),Mousa Ahmadi, Capital Market’s expert cited that economic elements indicate negative economic growth, decrease in investment amounts, stagnation in marketing in the country and also increment in inflation rate and thus, reduction in purchasing power of the people in the society that has escalated in the recent months because of the Corona Virus. Among these, the Capital Market has been in a positive flow and huge amounts of liquidity have been attracted.
This Capital Market expert continued that one way of controlling the liquidity flow into the Capital Market is to aim the upcoming amateurs’ wealth at indirectly invest and use the capacities and services of the investment funds and investment & portfolio management consulting institutions in the market. On the other hand, it is necessary to present appropriate education suitable to various ages and educational levels; hence, this topic would be institutionalized and culturized.
He also added: For compensating the government deficit in this period, initial public offering (IPO) of public companies are in agenda. It seems that credit rating in the lease bonds and establishing a combinatorial market for major investors such as insurance companies and retirement funds with a long-term investing point of view may be helpful.
As Ahmadi uttered, in the recent years, we witnessed politicizing and aiming the bank-based system at market-based system; therefore, it is vital to unify the speed of the Capital Market’s preparation to accept this amount of wealth with the speed of the system changes to prevent probable technical, knowledge and emotional difficulties.
This Capital Market expert claimed that with proper management in the current situation and holding the sustainability of the resources in the Capital Market and also relevant use of the capacities of the tools and the institutions of this market, we could witness perfect outcomes. It seems that concerning the inflation expectations in the society and the current situation in the currency market and also the true negative interest rate in the country, in short terms attraction of the Capital Market and the continuous flow of liquidity into the market would be seen. At the moment, with offering new transactable funds in the bourse, it is incumbent to meditate to settle the cash resources.
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