News & Reports News Year 2016 November 2016 IMF sees Iran’s GDP growth to rebound to 6.6% in 2016-17

IMF sees Iran’s GDP growth to rebound to 6.6% in 2016-17

The International Monetary Fund (IMF) has made a statement predicting a 6.6-percent economic growth for Iran in 2016 and 2017.
A mission from the IMF staff visited Tehran from December 3 to December 14, 2016 to conduct discussions on the annual review of the Iranian economy. The mission held discussions with senior officials from the government, the Central Bank of Iran, and representatives of the private sector.

At the end of the visit, a statement was made including preliminary findings.
“Higher oil production and exports, after implementation of the Joint Comprehensive Plan of Action should allow real GDP growth to rebound to 6.6 percent in 2016/17,” according to the statement.
“Growth is projected to ease to 3½ percent in 2017/18 as oil production normalizes and non-oil sector growth remains modest. The policies implemented in recent years should allow inflation to average about 9 percent in 2016/17 before temporarily rising to just over 11 percent in 2017/18 due to the pass-through from recent exchange rate depreciation,” it added.
The statement also reads “The challenge now is to create the conditions for sustained macroeconomic stability and growth. Comprehensive and coordinated reforms that seek to defend low and stable inflation, restructure and recapitalize banks, cast fiscal policy in a medium-term framework to support reforms, and prioritize legal and regulatory changes that facilitate investment, aid job creation, and improve governance would achieve these goals. Better data quality, availability, and timeliness would support the reform process.”

Tehran Times