Sunday, June 25, 2006

Economics: Iran's rocketing inflation rate

There is an interesting article in that takes a look at Iran's surging inflation rate following a 25 per cent increase in spending that draws heavily on Iran's huge oil revenues, expected to reach 54 billion dollars in the current fiscal year.

The article quotes a conservative member of parliament's economic committee, Gholam-Reza Mesbahi-Moqadam, as telling ISNA news agency, "When the budget was approved, the government and the majority of deputies were deaf to economic experts' warnings about the consequences of an increase in spending based on foreign currency income."

Full article: Iran's inflation risk