Eshaq Jahangiri announced the withdrawal of another "one billion dollars" from the National Development Fund.
On Monday, June 26, the First Vice President of Iran announced that, with the approval of the Leader of the Islamic Republic, one billion dollars will be withdrawn from the National Development Fund to "stabilize existing employment and create new jobs."
Eshaq Jahangiri stated that in a meeting of the Supreme Economic Council attended by the heads of the three branches of government, it was approved that one billion dollars of credit from the National Fund be allocated for "stabilizing existing employment and creating new jobs," and Ayatollah Ali Khamenei has also agreed to this resolution.
The Leader of the Islamic Republic had previously ordered withdrawals from the National Development Fund several times to fund the military budget, the budget of the Iranian Broadcasting Corporation, combating dust, and other expenses.
Ayatollah Khamenei had also opposed the president's request to withdraw from the National Development Fund to compensate for flood damage.
These budgets are being provided from the National Development Fund, while its statute states that this fund "is established with the aim of converting part of the revenues from the sale of oil, gas, gas condensate, and petroleum products into sustainable, productive wealth and economically productive capital, as well as preserving the share of future generations from oil, gas, and petroleum products."
According to the Sixth Development Plan law, at least 34 percent of the revenues from oil sales must be deposited into the National Development Fund. However, during the consideration of the 2019 budget bill, Ali Larijani, the Speaker of the Parliament, announced that the Leader of the Islamic Republic has ordered that the National Development Fund's share of oil revenues be reduced to 20 percent.
Meanwhile, the Iranian Parliament Research Center has predicted that due to the decline in oil sales and withdrawals from the National Development Fund, including for military purposes, no money will enter the fund in 2019.
Mr. Jahangiri also said on Monday that US sanctions may "create limitations" in the 2019 budget. However, the government is determined to get through this period well.
Previously, Mohammad Baqer Nobakht, head of the Planning and Budget Organization, had spoken of a reduction in government revenues by one-third due to the return of US sanctions.
The US imposed sanctions on Iranian oil last November, allowing only eight countries to continue buying oil from Iran on a limited basis for six months. During this period, Iran's daily exports fell from 2.5 million barrels to 1 million barrels.
However, the United States ended waivers for Iranian oil customers about three weeks ago, and according to tanker tracking companies, Iranian exports have dropped to half a million barrels.
Source: Radio Farda
