Iranian Central Bank predicts next year inflation down to 13%
Baku, Azerbaijan, Jan. 26
By Khalid Kazimov - Trend:
The Central Bank of Iran (CBI) has announced that as in the current fiscal year (started on March 21, 2014) the country's economic inflation reached below the previously predicted rate, next year's inflation is expected to go down to 14 or even possibly 13 percent.
Akbar Komeijani who was speaking at a banking conference on Jan. 26 in Tehran, in agreement with a comment that coping with inflation has approached its harder core said "Reducing inflation is surely a very tough job and needs the monetary and fiscal disciplinary policies to be continued," Iran's IRNA news agency reported Jan. 26.
On Jan. 24, the CBI put inflation rate for the year to month of December 22, 2014- January 21, 2015 (the 10th month in Iranian calendar) at 16.3 percent.
It said in a report that the index for price of consumption goods and services in urban areas was 212.3 percent, showing a 0.3 percent growth compared to the same period last year. The index was up 15.7 percent in the month compared to that in the previous month.
Komeijani pointed out that inflation in the Iranian economy has proven to have lodged somewhere between 15 and 20 percent as a historically preserved trend. "The inflation is a systemic one. It takes not only the continuation of disciplinary policies, but also systemic discipline in the long run to change the curse of the inflation," he reiterated.
He further maintained that the past month's inflation rate supports previous predictions. "Now we can keep to our 16-to-17-percent inflation rate predictions with more confidence," he reassured.
In Iran, the most important categories in the consumer price index are housing, water, electricity, gas and other fuels (29 percent of total weight) and food and beverages (28.5 percent of total weight), a recent Trading Economics report says.
Others include transport (11.97 percent); furnishings, household equipment and routine household maintenance (6 percent); clothing and footwear (6 percent) and health (5.5 percent). The smallest groups are Recreation and culture; education; restaurants and hotels; communication; tobacco at and miscellaneous services and goods.
Edited by CN