TEHRAN - “Iran will experience a single-digit inflation rate this summer,” Central Bank of Iran (CBI) Governor Valiollah Seif said in the 26th Conference on Monetary and Exchange Policies on Tuesday.

IRNA quoted the senior banking official, “by applying effective monetary policies, the government has been successful to curtail the rampant inflation rate from 40 percent in Iranian calendar year 1392 (March 2013-2014) to 11.2 percent in the first month of the current Iranian calendar year (which started on March 20, 2016).” 

Meanwhile, the Statistical Center of Iran, on Monday, announced that the inflation rate for the 12-month period ended in the last day of the second Iranian calendar month of Ordibehesht (May 20) compared to the same period in the previous year hit 10.2 percent.

Admitting that the one-digit inflation would provide investors with a stable and secure environment, Seif highlighted that “curbing price oscillations is the important monetary policy of the incumbent administration and to hit this target it is crucial to pay a specific attention to domestic economic growth and balancing the external sector.” 

He also underscored that CBI has always pursued to adopt monetary policies complied with the ongoing requirements.

“Thanks to withdrawal of the financial embargo against Iran following the implementation of the Joint Comprehensive Plan of Action (JCPOA) and also the enforcement of policies to struggle with bouts of recession, economic growth is expected to witness a rapid acceleration.”

The CBI announced that the inflation rate in the past Iranian calendar year, which ended on March 19, 2016, compared to its previous year stood at 11.9 percent.

On February 20, Iranian Finance and Economic Affairs Minister Ali Tayyebnia said that the country’s budget plan for the current Iranian calendar year has envisaged an inflation rate of 11.3 percent. 

Curbing inflation was one of the major promises by Iranian President Hassan Rouhani during his presidential campaign. Under the previous administration, inflation skyrocketed to cross 44 percent. 

HJ/MA