Experts predict economic growth for Iran

Some international organizations predicted economic growth in Iran after the country and the P5+1 Group reached an agreement over Tehran’s nuclear program.

A while ago, the International Monetary Fund (IMF) in its first regular assessment of Iran after more than two years predicted a positive growth in country’s economy before the end of 2015.
The foreign companies from time to time voice their intention to resume their activity especially in Iran’s energy sector. Furthermore, the parliamentary delegations and high-ranking officials of several European countries visited Iran to discuss possible investments in the country.
Senior fellow at Nanyang Technological University’s S. Rajaratnam School of International Studies, James M. Dorsey, told AzerNews that easing of sanctions would allow Iran to achieve economic growth.
“While the IMF certainly has an interest in encouraging Iran to work towards a successful resolution of the nuclear issue, it also is accountable for its predictions,” he noted.
“It comes as no surprise that an easing of sanctions would allow Iran to achieve economic growth. In fact, it would be surprising if that was not the case,” Dorsey underscored.
Professor of economics at U.S. Northeastern University, Kamran Dadkhah, also said these predictions can be justified.
Dadkhah told AzerNews that the Iranian economy has great potentials for flourishing and becoming one of the top 20 economies in the world. He said, however, the Iranian economy is currently in a sorry state suffering from high unemployment rate, high inflation, and negative growth rate.
Dadkhah cited three reasons for the positive outlook depicted by the IMF.
“First, the United States and other countries have eased sanctions, and Iran has been allowed to access some of its blocked oil revenues. It is hoped that the nuclear negotiations would succeed and more sanctions are lifted. That would give a boost to the Iranian economy. Second, because of the new government’s expressed intention of coming to terms with the world, and improving the economic conditions, a positive attitude and hope of better future have been created among Iranians. Such expectations can help economic activity. Finally, the economic team of the new president seems to have the right ideas about the economy and have distanced themselves from populist ideas of the previous administration. Thus, it is not unreasonable to expect that the economy, after two years of decline, show improvement by 2015,” Dadkhah noted.

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