Iran's economic growth to halt next year: MP

TEHRAN, Feb. 21 (MNA) – MP Ahmad Tavakkoli, a vocal critic of the current administration’s economic policies, has predicted that the economic growth for the next year (the Persian calendar starts March 21) will be negative or close to zero.

In the economics literature, negative growth is often associated with economic recession.

“It is predicted that the economic growth for the current year stands at 1.5-2 percent and considering the implementation of the subsidy reform plan next year, this rate will approximate zero or become negative,” he told the Mehr News Agency.

In light of these figures an economic recession is expected for the next year, the trained economist noted.

Tavakoli went on to say that “We are opposed to the hasty implementation” of the subsidy reform plan because the recessionary and inflationary effects of the plan will harm national economy.

The administration has not yet officially released the rate of economic growth for the previous and the current year.

The fourth five-year development plan (2005-10) had envisaged 8 percent economic growth for the current year.