Iran's inflation rate hits 35.5%, down 0.4% in month

The Statistical Center of Iran has announced that the inflation rate for the 12-month period ended the ninth Iranian calendar month of Azar (endd on December 21) hit 35.5 percent, a 0.4 percent fall compared to the previous month.

Meanwhile, the point-to-point inflation rate hit 28.8 percent.

In November, Iranian President Hassan Rouhani said his government plans to decrease the inflation rate to below 25 percent by the end of the next Iranian calendar year 1393 (March 20, 2015).

The inflation rate is projected to be 35 percent at the end of the current Iranian calendar year (March 20, 2014).

"First, the administration plans to curb the inflation rate and reform the banking system, and then change the method of (cash) subsidy payments," he added.

Rouhani said his administration inherited an economy with a 5.8 percent contraction rate and an inflation rate of over 40 percent, according to the Central Bank of Iran.

In October, Finance and Economic Affairs Minister Ali Tayyebnia said the government plans to reduce the inflation rate by 6 to 7 percent by the end of the current calendar year (March 20, 2014).

Through curbing the runaway liquidity growth in the country, hopefully the inflation rate can be decreased, he added.

Source: Tehran Times