Iran inflation tops 26pc
Sunday, 6 July 2008
TEHRAN, July 5 (AFP): Iran's inflation rate, which has provoked intense criticism of the government, topped 26 per cent in June, according to a central bank statement published in the press today.
"During the Iranian month of Kordad inflation reached 26.4 per cent compared with the same month a year ago," according to the statement published in the economic newspaper Sarmayeh.
The previous month, annual inflation was running at 25.3 per cent.
President Mahmoud Ahmadinejad has been blamed by many economists for directly fuelling the price rises by ploughing huge amounts of cash into the economy to fund local infrastructure projects.
There has been a sharp increase in money supply growth-a key indicator of future inflation trends-to almost 40 per cent during the years of the Ahmadinejad presidency.
"During the Iranian month of Kordad inflation reached 26.4 per cent compared with the same month a year ago," according to the statement published in the economic newspaper Sarmayeh.
The previous month, annual inflation was running at 25.3 per cent.
President Mahmoud Ahmadinejad has been blamed by many economists for directly fuelling the price rises by ploughing huge amounts of cash into the economy to fund local infrastructure projects.
There has been a sharp increase in money supply growth-a key indicator of future inflation trends-to almost 40 per cent during the years of the Ahmadinejad presidency.