Macro Economic and Financial Performance and Outlook

In his presentation, Dr. Mahdavian presented a number of central macroeconomic indicators and aggregates in order to assess macroeconomic and financial performance in Iran. These included real sector developments, government budget out-turn, external sector development, and monetary aggregates. Dr. Mahdavian also discussed the privatization act and Article 44 as decreed by the Supreme Leader. In presenting a 20-year outlook for the Iranian economy, Dr. Mahdavian predicted even higher oil and gas revenues. However, Dr. Mahdavian also made the case that Iran�s strength lies in the availability of foreign exchange resources, and a strong human resource base. Iran, he argued, has vast untapped possibilities and potentials. In order to fully realize these potentials, he proposed the need for a sound and safe, yet comprehensive market reform strategy (sound in terms of fiscal, monetary, social and structural policies; safe in terms of cautions, OSF, governance, supervision, property rights, and transparency), both in the medium and in the long-term.

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