PBO: 5 Percent Reduction in Operating Budget Targeted

EghtesadOnline: According to Article 28 of the Sixth Five-Year Development Plan (2017-2022), the government’s current spending should reduce by 5% by the end of the next fiscal year (March 2019), the head of Planning and Budget Organization of Iran said on Monday.

News ID: ۷۴۳۶۷۸

05 September 2017

Mohammad Baqer Nobakht added that the traditional approach to budget drafting will undergo a considerable reform this year, as all spending will be calculated based on the end-price of the services public agencies deliver over the year.

"The allocation of budget to each governmental body will be made according to their performance as well as the objectives and missions they have defined for their organization," he said.

According to Nobakht, who is also the government's spokesman, the government’s operating budget increased by 72% between 2013-14 and 2017-18, IRNA reported. Earlier, Nobakht said the government is expected to run up a 370-trillion-rial ($9.6 billion) budget deficit in the current fiscal year (March 2017-18), Financial Tribune reported.