Iran's economic growth nearly halves compared to previous year

Iran’s economic growth has significantly decreased compared to the previous year, according to a recent update by the Central Bank of the country, Report informs, citing Radio Farda.

Iran's economy grew by only 3.2% in the spring of this year, a sharp decline from the 5.7% growth recorded in the corresponding period of 2023.

The slowdown in Iran's economic growth is attributed to a substantial decrease in the added value of oil products, which has halved. In the spring of last year, growth in this sector stood at 16.5%, while it has fallen to 9.5% in the current reporting period.

The International Monetary Fund (IMF) estimates that Iran's economic growth reached 4.7% last year. However, the organization projects a further decline to 3.3% this year and 3.1% next year, painting a gloomy picture for the country's economic future.

In recent days, Iranian President Masoud Pezeshkian stated that achieving an 8% growth in the economy would require an investment of $200 billion. "The total investment in the country does not exceed one hundred billion dollars. Therefore, we need one hundred billion dollars in foreign investment," the president emphasized.

According to the United Nations statistics, the Iranian government attracted $1.5 billion in foreign direct investment into the economy last year. However, this figure falls far short of the amount needed to stimulate significant economic growth.

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