IMF: non-oil based economy will bring Iran sustainable growth
Following the lifting of international sanctions, Iran has high hopes that its oil industry can be a key pillar in its plan to return to economic prosperity, but a senior official at the International Monetary Fund (IMF) is to warn the country that it has greater challenges ahead.
In a speech due to be given on Tuesday by David Lipton, the first deputy managing director of the IMF will warn that Iran can no longer rely on its main export commodity – oil – to be the source of its growth in future.
Following the lifting of international sanctions, Iran has high hopes that its oil industry can be a key pillar in its plan to return to economic prosperity, but a senior official at the International Monetary Fund (IMF) is to warn the country that it has greater challenges ahead.
In a speech due to be given on Tuesday by David Lipton, the first deputy managing director of the IMF will warn that Iran can no longer rely on its main export commodity – oil – to be the source of its growth in future.
"I speak here today at a pivotal moment for Iran's economy," Lipton is expected to say during the speech at the Central Bank of Iran on Tuesday.
"With important sanctions lifted, your country has a new opportunity to deepen its integration into the global economy. That process has the potential over time to support faster growth and rising living standards for Iranians."
"But positive results depend on overcoming two major obstacles as well. The first is navigating a difficult global economic situation. And the second is building a competitive and flexible domestic economy that will serve as a suitably strong platform for growth," he will say, adding that only a non-oil based economy will bring Iran "sustainable growth."
