The impact of US sanctions on Iran’s economy is projected to peak this year, with growth resuming in 2020, according to the June issue of the World Bank’s twice-yearly Global Economic Prospects report, released on May 4.
Iran was thrown back into recession last year by the Trump administration’s decision to reapply sanctions, suffering an economic contraction of 1.9%, following 2016 growth of 13.4% (in the wake of the 2015 nuclear deal, which protected the country from heavy sanctions prior to the US change of policy in May 2018) and 2017 growth of 3.8%. The World Bank’s latest forecast is for Iranian GDP to contract 4.5% in 2019, but to grow 0.9% in 2020.
Iran’s annual inflation rate rose sharply from about 10% in mid-2018 to about 52% in April 2019, while the Iranian rial (IRR) on the unofficial parallel market sank more than twofold compared to levels prior to the announcement that US sanctions were on the way back, the World Bank noted.
“Growth in Iran is expected to resume in 2020-21, albeit at weak rates, as the impact of U.S. sanctions tapers and inflation stabilizes,” it added.
Fitch Ratings has upgraded Slovenia’s Long-Term Foreign-Currency Issuer Default Rating (IDR) to 'A' from 'A-' with stable outlook, the agency said on July 19. In a previous rating action, Fitch ... more
Ukraine’s finance ministry received record-high receipts of UAH33.3bn ($1.27bn) from placing UAH and US dollar-denominated bonds on July 16. Kyiv raised UAH7.4bn by placing four types of ... more
The unconsolidated debt of the Istanbul municipality—the mayorship of which was won by the opposition in the late June ‘revote’ to the humiliation of the Erdogan administration—has reportedly ... more