In the first half of the Iranian calendar year (started March 20), the Islamic republic experienced a 13 percent inflation rate. Mohammad Jafar Mojarrad, deputy of the Central Bank of Iran (CBI) has recently revealed this information before a conference in Teheran, reported the Iran Daily. Mojarrad also expressed optimism that Iran would be able to reduce inflation below 10 percent once a series of financial policies were implemented.
Speaking at the First International Conference on Investment in Housing, Urban Development and Infrastructural Projects, Mojarrad also issued statements forecasting economic growth and debt repayment. He said that presently economic growth sits at 2.5 percent but should reach 4.5 percent by the end of the current Iranian calendar year (ending March 20, 2001). More optimistically though, he added that “We’ve got the capacity of reaching 8.5 percent economic growth.”
Basing predictions on the Third Five-Year Plan (2000-2005), Mojarrad said that foreign debt rescheduling payments will be met by March 2001 and that the CBI is working on the assumption that Iran will reach and maintain a 6 percent economic growth rate over that span. He also noted that the world insurance industry has once again improved the risk assessment status of Iran, pointing to the unprecedented economic and political situation since the Islamic Revolution.
Similar good news emulated from the head of the Investment, Technical and Economic Assistance Organization, telling the conference delegates that Iran has projected $42 billion in non-oil exports over the course of the Third Plan. Much of the domestic growth, he said, will be development and infrastructure related, creating some 700 000 jobs annually. — (Albawaba-MEBG)