Iran’s inflation rate rises to 21.8 per cent

Iran Materials 15 May 2012 12:18 (UTC +04:00)

Azerbaijan, Baku, May 15/ Trend F.Milad/

The inflation rate in Iran for the 12-month period ended April 19 hit 21.8 per cent, up 0.3 per cent compared to the same period ended to March 19, Mehr News Agency quoted the Central Bank as reporting.

The Subsidy Reform Plan has reduced Iran's unemployment rate and helped maintain its economic growth this year despite speculation by some analysts of a surge in inflation, finance and economic affairs minister Shamseddin Hosseini said on February 17.

The plan, launched in December 2010, allows the Iranian government to gradually slash subsidies on fuel, electricity and certain goods over the course of five years, with low income families being compensated with direct cash hand-outs.

Iran's High Council of Employment has approved the allocation of 45 trillion rials (some $37 billion) to job creation plans this year which began on March 20, the deputy cooperatives, labour, and social welfare minister says.

The approval came after negotiations with the central bank and Ministry of Finance and Economic Affairs, Mohammad-Hossein Forouzanmehr told the Mehr News Agency.

Forouzanmehr also said the Statistical Centre of Iran has confirmed that some 1.6 million jobs were created during the last Iranian year which ended on March 19.

The unemployment rate in Iran stood at 12.3 per cent last year, showing a 1.2 per cent fall compared to the year before.