Iran considers reopening stock market after nearly decade-long closure period

Iran’s Stock Market to Reopen After 80-Day Closure

The Tehran Stock Exchange is set to resume trading on Tuesday and Wednesday, marking an end to its 80-day closure due to the ongoing conflict with the US and Israel. The exchange had remained shut since February 28, when missile attacks were launched on Tehran and other parts of the country.

The Securities and Exchange Organization (SEO) has stated that the reopening aims to “protect investors’ assets” and provide a more accurate and transparent trading environment. The closure initially prevented disorderly panic selling, but it also trapped portfolios and created pressure on anxious investors to sell.

The main index of the Tehran Stock Exchange, TEDPIX, had reached an all-time high in 2026 before plummeting following nationwide protests and a state-imposed internet shutdown. The index then fell further due to growing expectations of war with the US and Israel.

Despite the reopening, many Iranians continue to hold their savings in foreign currency, gold, or other assets due to economic woes. Banks and the state remain the largest financers of economic activity in Iran, which is struggling with chronic inflation and harsh sanctions.

The Central Bank of Iran has been printing money to plug budget holes, but this has pushed inflation higher and degraded purchasing power. The war has exacerbated these issues, including a naval blockade imposed by the US on April 13.

It remains unclear how much information Iranian companies will be allowed to disclose about war damage, considering ongoing security risks and the threat of renewed fighting. Companies will be divided into three categories for the reopening: those with direct damage, those affected through suppliers or customers, and firms affected by the general environment.

The stock market’s reopening provides an opportunity for authorities to gauge investor trust and market liquidity, but it also raises questions about the accuracy and transparency of information being disclosed.

Source: Al Jazeera