IN THE NAME OF GOD
CONCISE HISTORY OF BANK MELLI IRAN
The year 1307(1928) should be regarded as a turning point in Iran's banking and economic history. It was in that year that after nearly 40 years of foreign dominance on the country's banking scene, BankMelli Iran, the first Iranian commercial bank was established and the long cherished aspiration of the Iranian nation turned into reality .
With the establishment of Bank Melli Iran and consequential suspension of foreign banks licences, the then disorderly economic trend of the country was reversed and the newly founded bank began to gather momentum in strengthening of the economic structure and development of agriculture, industry and commerce by mobilizing the huge financial resources and popular savings and by chanelling credits toward productive activities.
During the 79 year period ensuing the foundation of Bank Melli Iran the country has witnessed a great deal of changes and turnarounds.
Bank Melli Iran which had been founded as a result of an economic exigency, developed at later stages into an active and dynamic element assuming an accelerating role in the country’s economic advancement.
In the year 1310(1931) parliament granted sole powers to Bank Melli Iran to issue banknotes, thus establishing the bank as the country’s bank of issue. Thereafter the bank assumed responsibility for additional central bank functions including government banking operations, the regulation of currency circulation, maintenance of balance of payments surpluses, credit regulation as well as supervision of the country’s banking system.
In the year 1339 (1960) pursuant to the promulgation of the State Banking and Monetary law and the establishment of Bank Markazi Iran ( The Central Bank ), Bank Melli Iran relinquished its central banking functions.
Such development enabled Bank Melli Iran to concentrate more fully on commercial banking transactions and to achieve further success by taking long strides on that front.
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