Iran aims to cut inflation to under 10 per cent

Inflation fell to 10.8 per cent in the year ending October 2015 and the government aims to reduce it to single figures, President Rouhani’s senior economic adviser Masoud Nili said on 15 November.

‘There are worries that, parallel with the termination of sanctions next year, the economic situation of the country will be led to monetary expansionism,’ Nili was quoted as saying by the official Irna newsagency.

Nili said that Iran’s GDP in real terms grew by 3 per cent in 2014. He said that GDP could return to its level recorded in 2011 by 2018. International sanctions and the embargo on Iranian crude oil imports imposed by the EU and other nations led to GDP falling in 2012 and 2013.

Nuclear-related sanctions imposed by the US, the UN and the EU could be relaxed by the end of 2015, analysts say.