Iran's plans budget with sanctions still in place

AFP , Wednesday 1 Dec 2021

Iran has proposed a draft budget for its next fiscal year with the assumption that sanctions imposed in 2018 will still be in place, its planning and budget organisation has said.

Iranian President Ebrahim Raisi delivers a speech during a parliament session on the occasion of Parliament Day in Tehran on December 1 2021. AFP

A 2015 nuclear deal between Tehran and world powers had granted the Islamic republic sanctions relief in return for curbs on its nuclear programme.

But the US unilaterally pulled out in 2018 and began reimposing measures, prompting Iran to begin rolling back its nuclear commitments in retaliation.

The draft budget for the Iranian fiscal year starting March 21, 2022, "has been balanced assuming the continuation of sanctions", said Massud Mirkazemi, head of the budgetary body, according to media reports Wednesday.

The budget will not be tied to the results of negotiations over Iran's nuclear programme which resumed in Vienna this week, he said in comments made Tuesday.

Sanctions have weighed heavily on Iran's economy, but Tehran has repeatedly said it will not be pressured.

In mid-November, an official from the parliament's planning and budget committee, Mohammed Hosseini, told the Fars news agency that Iran was relying on selling 1.2 million barrels of oil per day at $60 a barrel for the next fiscal year.

The projection far surpasses Iran's current sales, estimated at about 600,000 barrels per day.

The draft budget will be presented to parliament on December 6.