Coll 28/59 ‘Persia. Financial Situation’ [‎198v] (407/842)

not sell freely, carried on their exchange business again outside at a higher
The rial has depreciated again and was quoted yesterday at 107^ to the £ sterli
this rate being still slightly above silver point.
6 . The recent depreciation of the rial is not thought to have been caused't
any appreciable extent by lack of confidence in the new currency, despite tK
fact that the Currency Board, which should by now have issued two montll
statements of the note issue, has not yet been even fully appointed. y
June 1, 1932.
C. H. SUMMERHAYES,
A ding Commercial Secretary.
Enclosure 2 in No. 1 .
Decree of May 14, 1932.
ARTICLE 1 —Exporters who must give exchange undertakings at the time
of export shall state clearly in their undertakings that they will fulfil their
exchange obligations through the National Bank of Persia or through the
Imperial Bank of Persia, at the rate of the date of their undertaking. The
Customs must send immediately one copy of the undertaking to the bank through
which the undertaking is to be fulfilled, one copy to the Ministry of Finance
(Treasurer-General), and one copy together with the third copy of the relative
export certificate to the Administration-General of Trade.
Note. —Should the undertaker sell his exchange to an authorised bank
other than the one to which he has undertaken to sell, he shall obtain a
certificate from the buying bank and hand it to the bank with which his
undertaking is lodged. This certificate shall be accepted by the latter bank
and noted on the relative undertaking.
Art. 2.—In future advance payment (sale) of exchange relative to export
certificates attached to applications for import licences will not entitle anyone
to a licence out of rotation. Clause 1 of article 2 of the decree No. 9446, dated the
29th Esfand, 1310 (20th March, 1932), is hereby repealed.
Art. 3.—The sale of exchange aerived from exports to holders of import
licences who, in order to obtain such licences, had not delivered export certificates
in accordance with the laws, shall be forbidden. It shall also be forbidden to sell
to holders of import licences who have been exempted from exchange obligations.
The Administration-General of Trade must either mention clearly in all licences
the fact that the above-mentioned two conditions have been fulfilled, or prepare
special licences in which the fulfilment of the said conditions shall be indicated.
Art. 4.—The National Bank of Persia and the Imperial Bank of Persia,
which are the authorised banks, shall keep a special account for the exchange
derived from the export of Persian products which must be disposed of exclusive!)
for imports.
Art. 5.—Foreign exchange not derived from the export of Persian products,
such as exchange obtained on the Persian market whether in the form or cheques
or bills issued by the banks carrying on business in Persia, or in the f orin j’
cheques or bills issued or endorsed by anybody residing in Persia, will not
accepted as exchange derived from exports and such exchange will not release
anyone from the exchange obligation on account of exports. Consequent y, i
order to eliminate the exchange undertaking (given to the Customs), the se e
must give satisfactory explanations as to the fact that their exchange is deriv
from exports. . . rtj
Art. 6 .—Any person desiring to purchase foreign exchange for im r ^
from exchange derived from exports shall first present to the selling banK
import licence, indicating that he has previously given export
order to obtain the import licence, and that the relative excnange }* n( * ei \ aI1 i
has been duly obtained, and, secondly, he shall undertake to utilise the. e
only for the imports mentioned in the relative licence, and that if W1 ^ 11D , i e ff jj]
fixed in the permit he fails to exhibit the import certificate to the ban
refund the exchange purchased.