Monday, June 25, 2007

Ahmadinejad's Economic Consultant is his Butcher!

Ahmadinejad, the son of a blacksmith, was quoted by Iran's Sharq daily as saying. "For example, there is an honourable butcher in our neighbourhood who is aware of all the problems of the people and I also get important economic information from him," he said in a meeting with worker unions, Sharq reported...
Facing complaints about inflation, he told parliament in a budget speech in January that Iranians should pop around to his neighbourhood grocer to buy tomatoes where he said they were much cheaper than the soaring prices he said others were citing. Inflation was running at more than 17 percent in February, when the central bank last released figures for the consumer price index. Economists say prices are continuing to climb, a major grumble among ordinary Iranians. Ahmadinejad has dismissed such criticism saying inflation is an issue that predates his government and has accused the media of exaggerating the problem.

Related economic News on Iran:

The stock market reacted with panic last month after Mr Ahmadinejad ordered banks to slash interest rates to 12%, well below inflation, unofficially estimated at 20-30%. Economists accuse the government of depleting Iran's foreign currency reserves to fund its extravagant spending policies.

Despite oil revenues of £27bn last year, they also say non-oil exports have plunged since Mr Ahmadinejad took office two years ago, leading to a negative balance of payments. Iran last week postponed for a month the introduction of petrol rationing, intended to cut the cost of providing hugely subsidised fuel to motorists.

1 comment:

Anonymous said...

From the follower of a great criminal who belived "economics is for donkey" what better can you expect? His advisor on financial issues can only be a buchter!