“Balanced Financial Development, BFD” ensures that the development path of a given financial system supports short-term stability and long-term growth by coordinating four key pathways: financial liberalization, financial deepening, risk management, and financial innovation. These pathways must be developed in sync and properly together to maintain the stability of the financial system in its development path and to provide for continuous and low-volatility economic growth. The stock market, as a sub-sector of Iran's financial system, is subject to excessive regulation, including severe restrictions on the range of daily stock price fluctuations, which is a form of financial repression. This article seeks to examine some consequences of the stock price limit within the conceptual framework of BFD. This constraint can be considered as an “anti-growth” policy if it’s known as an obstacle to BFD. The results of this article illustrate that the stock price limit although may have short-term stabilizing effects, but by distorting price signals, preventing financial innovation and hindering financial deepening, becomes an obstacle to the long-term financial development. In addition, it weakens the possibilities of risk management and financial inclusion, and exacerbates systemic risks. Therefore, to achieve BFD, liberalization is necessary in parallel with improving financial deepening (depth, access, inclusion), risk management (development of the insurance sector, and diversification of financial intermediaries and financial instruments), and financial innovation.