Iran’s economy posts ‘sevenfold’ surge in two years
Economic Desk
Iran’s economy has witnessed a resurgence, with its economic growth averaging 4.2% over the past two years, which marks a “sevenfold” growth compared to the lackluster 0.6% average during the four years leading up to 2021.
The growth is seen as a clear sign of the nation’s emergence from a prolonged period of economic stagnation.
According to economic indicators, if a country’s annual economic growth exceeds 3% for two consecutive years, it is considered to have broken free from the shackles of economic inertia. Bolstering this viewpoint are statistics released by the Central Bank of Iran (CBI), suggesting that the nation’s economy has turned a corner, leaving behind recession.
Official figures have revealed that Iran’s economic expansion for 2021 and 2022 was registered at 4.4% and 4%, respectively. This is in sharp contrast to the paltry 0.6% average recorded during the four-year term of the previous government which left the office in August 2021.
The most recent data from the CBI highlights a dramatic turnaround in the oil and gas industry. Previously mired in a negative growth rate of 8.7%, the sector has staged a strong recovery, posting a robust growth rate of 10% in both 2021 and 2022.
Further analysis of the economic landscape paints a picture of steady progression. The average economic growth from 2011 to 2020 stood at a modest 0.8%. However, this figure underwent a big leap in 2021, soaring to 4.2%. Equally striking is the investment sector, where the average growth from 2011 to 2020 languished at a negative 5.9%. However, 2021 brought about a remarkable reversal, boasting an investment growth rate
of 6.7%.