Iran's Parliamentary Think Tank Revises Up GDP Growth to 4.6%

EghtesadOnline: The research arm of the parliament has revised upward its estimates of economic growth for the current fiscal year (March 2017-18) from the previous 4.1% to 4.6%.

News ID: ۷۴۴۹۵۵

13 February 2018

According to Majlis Research Center, the two sectors of transportation services (8%) and general services (11%) will register the biggest growth, thanks to the boost in foreign trade and overseas flights.

The parliamentary think tank expects the agriculture sector to expand by 3.8%, the oil sector by 3.1%, the industrial sector by 4.6% and the services sector by 5.9%. It expects the construction sector to shrink by 2.4%.

Earlier, the center forecast a 3% economic growth for the next fiscal year (March 2018-19), according to Financial Tribune.

The latest official data on Iran’s economic growth were published by the Statistical Center of Iran late last year.

According to the SCI report, Iran’s economy grew by 5.6% in the first half of the current fiscal (March 21-Sept. 22) compared with last year’s corresponding period. The H1 growth was put at 6%, exclusive of oil.

Agricultural production expanded by 0.9% while the industrial sector (comprising crude oil, natural gas and other mineral extractions, industrial production, energy and construction) grew by 4.4%. The services sector saw the highest growth of 7.2% during the period.

IMF expects Iran’s real GDP growth to reach 4.2% in 2017-18, projecting it to be sustained or even rise toward 4.5% over the medium-term.

The World Bank, in its latest “Iran’s Economic Outlook” report, estimated a 3.6% GDP growth at constant market prices and 3.5% at constant factor prices for the Iranian economy in 2017. Its estimates for 2018 and 2019 are at 4% and 4.3% at constant market prices and 3.9% and 4.1% at constant factor prices respectively.

And the United Nations, in its World Economic Situation Prospects, had forecast a 5.3% economic growth for Iran in 2017, noting that the growth is projected to settle at 5.1% and 5% over the next two years respectively.