Energy Supply Cuts Plunge Economy to ‘Rare’ Slump

EghtesadOnline: The PMI for Iran’s overall economy settled at 41.89 in the tenth month of the year from 49.14 registered in the previous month, indicating a 7.25-point or 14.75% decrease.

News ID: ۷۵۲۲۲۱

05 February 2023

The PMI for Iran’s overall economy settled at 41.89 in the tenth month of the year from 49.14 registered in the previous month, indicating a 7.25-point or 14.75% decrease.

New data released by the Statistics and Economic Analysis Center of Iran Chamber of Commerce, Industries, Mines and Agriculture show the Purchasing Managers' Index for Iran’s overall economy saw a “massive crash” in the tenth month of the current Iranian year (Dec. 22, 2022-January 20, 2023).

The report attributes the downturn in economic performance to long-standing factors plaguing the Iranian economy, such as runaway inflation, plummeting value of the national currency and ever-dwindling demand in the market in addition to a new challenge, namely “shortage of energy”.