Assessing the Effect of Inflationary Atmosphere of Iran's Economy on the Supply of Qarz-ol-Hasna Deposits

Extensively expansionary monetary policy has posed serious challenges to Iran's economy in recent decades. In this regard, we can point to the elimination of public tendency to supply of Qarz-ol-Hasna deposits. So that the share of Gharz -ol-Hasna deposits in total bank deposits has decreased and has reached almost its lowest level in the last four decades. Among these, one of the most important reasons has been monetary policy indiscipline during this period which has been led to a sharp increase in liquidity and inflation rate and consequently increased opportunity cost of money or time value of money and has caused the Qarz -ol-Hasna deposit (in the form of Qarz-ol-Hasna deposits in the banking system), to decline. However, Qarz-ol-Hasna has been highly emphasized in the Qur'an and Islamic sources and many economic and social functions can be imagined for it. In this article by reviewing monetary authority's performance through monetary and inflation indices tried to pathologies the decreasing trend of Qarz -ol-Hasna deposits, focusing on monetary policies role.