International Monetary Fund says Iran's economy is getting smaller
Forbes magazine, citing the impact of US sanctions on Iran, quotes the Institute of International Finance think tank as saying that Iran's economy is expected to shrink even further.
Garbis Iradian and his team at the Washington-based Institute of International Finance think tank say that by the end of the current fiscal year in Iran (end of March), the Iranian economy is expected to shrink by 7.2 percent.
According to their report, Iran's economy shrank by 4.6% last year.
According to Forbes, the immediate problem in this matter stems from US sanctions, which have restricted Iran's oil exports and deprived the Iranian government of a large portion of its revenues.
President Trump reimposed U.S. sanctions on Iran after withdrawing the United States from the nuclear deal known as the Joint Comprehensive Plan of Action (JCPOA). The Trump administration has also imposed additional sanctions on Iran as part of its policy of maximum pressure.
Currently, Iran's oil industry is completely sanctioned by the United States. Parts of Iran's petrochemical, mining, and construction industries, as well as the purchase and sale of certain metals, are also sanctioned.
The United States has also designated the Islamic Revolutionary Guard Corps (IRGC) as a terrorist group and has subsequently gradually added Iranian government departments that are in contact with the IRGC to the sanctions list.
On June 1, 2018, US Secretary of State Mike Pompeo, announcing the new US strategy towards Iran, listed 12 US conditions for an agreement with the Islamic Republic, which are in fact a list of US demands from the Islamic Republic, or in other words, details of the Iranian regime's change in behavior.
Some of these conditions include stopping support for terrorism and refraining from destructive actions in the region, such as supporting Lebanon's Hezbollah and interfering in the internal affairs of other countries, including Iraq, Yemen, Syria, and Lebanon.
Source: Voice of America
