Nobakht: Iran to face no budget deficit even if oil price further drops

Tehran, Jan 5, IRNA – Government spokesman Mohammad-Baqer Nobakht Monday said Iran is to face no budget deficit even if the oil price drops to half of its current value.
  Nobakht who is also the Vice-President and head of the Management and Planning Organization said the government is taking necessary measures to cope with a possible further decrease of oil prices and its probable impact on the next year budget.

The MPO chief made the remarks on the sideline of the first National Economic Conference here Monday.

He said even if the oil price drops to half, the government is not worried about any budget deficit. He further urged the media and press to differentiate between the two phrases of “lack of sufficient financial resources” and “budget deficit.”

The senior official further stressed that the government is going to spend sources more economically if its anticipated oil revenues for the next year budget bill are not materialized.

In this way, he added, the country will face no type of budget deficit under any conditions.

However, he said, the government is going to suffer a shortage of revenues of up to rls. 350000 billion given the present declining trend of oil prices.