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Saturday, September 7, 2013

Iran's Inflation Rate Hits 39%

Up Over 5% in One Month

Central Bank of Iran (CBI) Governor Valiollah Seif has announced that the inflation rate for the 12-month period ending in Iranian calendar month of Mordad (August 22, 2013) hit 39 percent. (Mehr News Agency/Payvand, 7 September)

The new inflation rate released by the CBI represents a 5% rise in only one month [The central bank’s figure for the 12-month period ending Tir (July 21, 2013) was at 33.9 percent.] Saif also said that the CBI will attempt to regulate tighter liquidity while at the same time trying to get country out of recession.

Iran’s current economic situation where high inflation, low economic growth rate, and high employment coexist is often referred to as stagflation; a condition that raises a dilemma for the CBI since actions designed to lower inflation may exacerbate unemployment, and vice versa.

Photo credit: Central Bank of Iran (CBI) Governor Valiollah Seif (Younes Khani/Mehr News Agency via Payvand)

3 comments:

  1. This is why we need more sanctions. Iran is getting desperate

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    Replies
    1. You mean the Islamic terrorist regime is getting desperate.

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    2. present sanctions might suffice as the point of sanctions isn't to destroy Iran, but to compel the regime to bend.

      if the next 60 days doesn't show any change in the Iranian governments position, then additional sanctions might be considered.... or it may have to be considered that economic sanctions won't suffice.

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