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Expansion of Cooperation between Iran and South Korea Capital Market

Head of the SEO, Dr. Mohammadi along with 11 high level delegations from Iran’s capital market visited several high level Korean capital market authorities in Seoul on 24 October, 2016.

Head of the SEO,  Dr. Mohammadi along with 11 high level delegations  from Iran’s capital market visited several high level Korean capital market authorities in Seoul on 24 October, 2016.

As a keynote speaker at the seminar "Knowledge Exchange Forum Iran-Korea" he stressed, the implementation of the MOU signed between the SEO and FSC and FSS. He stated three  themes about Iran’s people including Iran’s stability, its spirit of hospitality, and the dynamism of its people. He added Iran is a stable country in a chaotic region: “You will not have to look long at a map to remind yourself that Iran is surrounded by instability. Yet, even in the context of 15 years of wars and chaos on our borders, not only have we maintained our stability, but we have made tremendous economic advances.”

He emphasized that the government has taken major strides to take the country forward to more economic stability and growth, and the signs are evident. Following implementation of the JCPOA, he pointed Iran managed an immediate and significant increase in oil production and exports, well beyond what anyone had predicted. The latest official figures show that the Republic of Korea has almost doubled its imports of crude oil from Iran. Moreover, inflation which was hovering above 40% is now below 10%. Indeed, under the guidance of the Supreme Leader, our overall ecnonmic framework now explicitly emphasizes resilience, which is  cornerstone of stability.
Dr. Mohammad remarked: “turning to our capital markets, developments there have also been significant. The dynamism of our market participants and institutions is evident in recent innovations. We are on our way to developing a domestic government securities market that meets the needs of the public sector as well as investor.”

Dr. Mohammadi in another part of his speech pointed to a long history of fruitful cooperation between the Iranian and Korean capital markets, from the capital market authorities, FSC and FSS; to KRX, KSD and Koscom and more recently today to CIFC, KIF, KSFC and KOFIA. He highlited the SEO and the regulatory and supervisory authorities of the Korean financial market, FSC and FSS, signed an MOU in Tehran in May demonstrating the importance of relationship between the two capital market players.

At the end of his speech he pointed to the relation with foreign investors,facilitating the currencey movement and foreign exhchange aspects of portfolio investment, and developing currencey hedging insturments,enhancing custodianship arrangements, introdusing IFRS reporting and developing clarity as to tax treatment, introduce morabaha instruments without bank guarantees, and facilitate IPOs and secondary equity offerings, developing a regulatory framework for private equity funds.
The knowledge Exchange Initiative between Iran and Korean is held from October 25 to  October 27 in Seoul. The entire capital market players from Iran and Korea are present in this initiative.