Iran VP: We'll manage even if oil drops to $40
Iranian officials and media outlets have expressed concern over the president’s budget for the next Iranian year, worrying that the administration has been overly optimistic in predicting oil prices.
On Dec. 7, Iran’s President Hassan Rouhani presented his administration’s budget for the Iranian year starting March 20 to parliament. The budget was created by estimating the price of oil at $72 per barrel. However, later statements by officials and criticism by conservative media outlets indicate wide concern over the price of oil.
Vice President for Strategic Planning and Supervision Mohammad Bagher Nobakth said that only a third of Iran’s budget is dependent on oil revenues and that the administration is taking into consideration that the price of oil will not remain constant. He said that when last’s year budget was announced, the price of oil was $108 per barrel and the budget was calculated based on $100 per barrel, adding, “Who would have thought that the $108 oil of last year would reach $68 today?”
