Enhanced production and wealth creation is the only way out of recession
Iran’s economic problems of the past half decade will begin to decline only when there is a meaningful increase in the national production and wealth creation rate and the country becomes more reliant on tax revenues.
The Iranian Minister of Economic Affairs and Finance Ali Tayyebnia made the statement in a conference here on Tuesday, adding that Iranian traders, business people and the public opinion have been eagerly waiting for a fundamental change in the country’s economic conditions since the start of the 11th government.
Tayyebnia went on to describe the current economic situation as one of the toughest and most critical for the Ministry of Economy but underlined that the latter can tackle and overcome this problem with a prospective and operative planning.
The Government’s economic spokesman referred to preparing a Strategic Economic Plan as the very first thing he and his colleagues went for on the first day in office last year.
“Research on Iran’s poor economic growth and vulnerability against external shocks over the last 35 years revealed the country’s excessive reliance on oil revenues as the main causes of the problem.”
Tayyebnia pointed out that reducing the said dependence on petrodollars was one of the top priorities of his Strategic Economic Plan, and expressed hope that efficient policies adopted in the Plan would serve as a useful tool in increasing national output and wealth-creation in the country.
He referred to more integrated and centralised economic performance, improved national production and manufacturing output, increased transparency and fiscal discipline, and more integrated operational and management systems as the main achievements of the Strategic Economic Plan less than a year after its launch.
The full operation of the Integrated Tax System throughout the country by the yearend (March 20, 2015), and the reduction of clearance procedures from eight to four days thanks to modern e-customs automation mechanisms are among other contributions of the Strategic Plan, he said.
