Anti-recession package is not a solution for all economic problems

IRNA: Regarding the anti-recession package, Dr Jafar Qaderi said: “Even though economic stimulus package do not meet all the expectations, it can create economic boom and it can partly help to get out of recession.

Parliamentary Planning and Budget Commission member noted that credit facilities for the purchase of cars and locally-produced goods increase the demand and it eliminates the problem of accumulation of inventories of manufacturing companies.

Also injecting funds into construction projects partly resolves the problem of lack of contractors’ liquidity, it makes the incomplete projects reach to the end.  Projected 16 billion dollars of credit and banking treasury can provide cash for production units, Qaderi added.

Highlighting that there are some problems in publishing bonds and Sukuk and eliminating it can absorb new financial resources, he said: “instalment purchase for manufacturing steel and cement should be placed on the agenda of government in order to meet the needs of government development projects, release financial resources of these factories, and their products to be sold”.

Setting up credit lines for the purchase of Iranian goods by foreign buyers will also boost domestic production, Qaderi pointed out.

Improving business environment and removing barriers to production will boost production and economic dynamics.