According to the Stock Exchange, Mehdi Heydari, Deputy Minister and Head of the Iranian Investment and Economic and Technical Assistance Organization, stated on Monday evening, November 19, 1404, at the opening ceremony of Kish Invex 2025: Savings are made in Iran, but these resources are not converted into investments, and this has increased our gap with neighboring countries.
He continued: In the 1990s, the country’s economic growth was almost zero, and after that, the average growth was only two to three percent.
Heydari added: The ratio of the country’s total fixed capital to GDP has remained almost constant in the past 30 to 40 years. This means that for economic growth, the country’s capital needs to increase, and unfortunately, investment in industry has even decreased.
Referring to the state of the public sector, he said: “Not only has there been no new investment, but the depreciation of existing capital has exceeded investment and the public sector has become smaller.”
Heidari also referred to the lifespan of development projects and said: “The average lifespan of government projects has now reached 18 years and many projects are not coming to fruition.”
He concluded by emphasizing: “For 8 percent economic growth, the country’s total capital stock needs to increase by 8 percent, and considering natural depreciation, this figure will reach more than 12,000 hemats for higher economic growth.”
