IEO conf. secretary: Trump’s economic polices likely to hit Iranian economy

TEHRAN, Jan. 17 (MNA) – Iran Economic Outlook Conference will address prospects of Iran’s economy with new contributing factor coming to the fore and no less important Trump’s assuming power in the White House as a factor of huge impact on global as well as Iranian economy. Amir Reza Hassani told a press conference held to discuss IEO 2017, a conference to be held in February 27, that despite the continued modest economic growth during 4 past decades, the growth had not been optimum, while the economy had only had negative growth rate in 12 years; “the Conference will present other factors of contribution on Iran’s economy than those discussed in 2016 edition; apart from 9 factors, others will be among the topics discussed, notably, international conditions, JCPOA-related restrictions, financial outsourcing system, fiscal policies, market and unemployment rate, inflation, economic growth, law amendments, and oil incomes,” he told the press. Hassani also added that an important factor largely unnoticed by the investors had been the management of knowledge of the markets; “knowledge of the markets is crucial to develop any understanding of the market mechanisms; an investor who invests based on whims and not actual knowledge will not attain any benefit from a given market,” he said. “For example, to trade on floating exchange rate would be damaging since in a floating market, fluctuations of the exchange rate would hit the trade suddenly; the Conference hypothesizes that technological advances translate readily into economic growth of the firms; while the economy had experienced only 12 years of negative economic growth, the average positive growth lacks the quality it should have had. This is ascribed to the fact that the economy is highly inefficient,” said the conference secretary. On possible impact of Trump’s economic policies, Hassani believed the issue would provide the Conference with a major topic; “the impact from the changes in US economic policies is inevitable and would be negative or positive; if oil prices catapult, it will benefit Iranian economy; especially when Resistance Economy hugely invests on the oil incomes as the major parameter; any Trumpian policy toward Japan, China, and South Korea which are major importer of Iranian crude would also be of importance,” he said. Changes in prices of major goods would also be a possible Trump effect, with JCPOA as an area to be under the impact of the power transition in the White Housse, Hassani was quoted as saying in the press conference.