MNA reported that the International Monetary Fund has predicted that the inflation rate in Iran will decrease around 10% in 2012 from the estimated figure of 22.5% in 2011.

In its quarterly World Economic Outlook report, IMF said that Iran's inflation will reach 22.5% by the end of 2011, showing 10.1% growth in comparison to 2010. The growing trend of inflation in Iran in 2011 is the direct impact of the subsidy reform plan, which was kicked off in December 2010.

It is projected that by stabilizing the subsidy reform plan, inflation in the Islamic Republic will down 10% in 2012 in comparison to 2011, reaching to 12.5% by end of 2012. The decreasing trend will continue in 2013 and the inflation rate will drop to the unprecedented record of 7%.

According to the report, the growth forecast for the country in 2011 is around 2.5%, which will increase to 3.4% in 2012.

The IMF forecasts growth in oil exporting countries of the Middle East and North Africa region, including Iran, to reach 5% this year and drop slightly to about 4% in 2012, as uncertainty over the global economy prevails.

The IMF expected, however, growth for oil-importing countries to increase to 2.5% in 2012, underpinned by a slow recovery in investment.

(Sourced from www.mehrnews.com)