Making investment not enough for Iran’s economy to grow
Baku, Azerbaijan, Jan. 7
By Fatih Karimov - Trend: Making investment is not enough for Iran's economy to grow.
Abbas Akhoundi, Iran's transport minister said even if investment increases in the country by 12 percent, it will not boost economic growth by more than 3 percent, Iran's Fars news agency reported Jan. 7.
This issue shows that all the economic procedures and human resources productivity should be revised, he said.
"For a long time we have not experienced rapid economic growth in the country. For more than four decades, the economic growth rate has been negative or 2 to 3 percent on average."
Alireza Moqtadaee, deputy governor of the Central Bank of Iran, said Jan. 6 that recent economic growth shows that the country has emerged from recession.
"The figure of economic growth is not important. The important thing is that the country has reached economic growth," he said.
Iran's economic growth based on prices in Iranian fiscal year of 1383 (March 2004-March 2005) increased by 4 percent during the first half of current fiscal year(March 21-Sep. 22) compared to the same period of last year.
The Islamic Republic's GDP has registered a significant growth during the current fiscal year considering the 2.4 percent shrink during the last fiscal year's first six months compared to the preceding year.
The World Bank said in June that Iran's GDP will grow by 1.5 percent in 2014.
Iran's GDP growth is forecast to reach 2 percent and 2.3 percent in 2015 and 2016, respectively, the report said.
Edited by CN