WB sees Iranian economy grow 2.1% in 2021
TEHRAN – Iran’s economy is expected to grow 2.1% in 2021, as the boom in domestic production outweighs the negative impacts of the coronavirus pandemic, according to the World Bank’s Global Economic Prospects (GEP) report published June 8.
“In the Islamic Republic of Iran, growth is expected to recover from 2.1% in 2021 and to 2.2% in 2022 with a rebound in industrial production exceeding the continued demand for services suppressed due to a high number of cases of COVID-19, “the report says. .
According to the World Bank, the Iranian economy also exceeded expectations in the previous Iranian calendar year (ended March 20) as the country’s industrial and productive sectors increased dramatically against all expectations.
“The Islamic Republic of Iran avoided an expected contraction during fiscal year 2020/21, which ended in March, with a rebound in the oil and non-oil sectors in the second half of the year, benefiting from higher prices of the oil and currency depreciation, respectively, ”the institute said in its report.
According to the mentioned report, Iran’s gross domestic product (GDP) will continue its positive growth in 2023, increasing by 2.3%.
In January, the bank had predicted GDP growth of 1.5% for Iran for the current year and growth of 1.7% for 2022; Iran’s current estimate of economic growth is 0.7% better than the entity’s previous estimates.
The World Bank is also seeing the global economy rebound in the current year, although most developing economies are expected to fall behind due to the negative impacts of the pandemic.
“The global economy is expected to grow 5.6% in 2021, the fastest post-recession pace in 80 years, in large part thanks to strong rebounds in a few major economies,” the report said.
Based on the report, many emerging markets and developing economies will continue to grapple with the COVID-19 pandemic and its aftermath.
Despite the recovery, global production will be around 2% lower than pre-pandemic projections by the end of this year. Per capita income losses will not be offset by 2022 for around two-thirds of emerging countries and developing economies.
In low-income economies, where immunization has fallen behind, the effects of the pandemic have reversed gains in poverty reduction and exacerbated insecurity and other long-standing challenges, according to the report.
EF / MA