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Iran (continued)

Economy

Overview: Since the 1979 revolution, the banks, petroleum industry, transportation, utilities, and mining have been nationalized, but the new five-year plan—the first since the revolution—passed in January 1990, calls for the transfer of many government-controlled enterprises to the private sector. War-related disruptions, massive corruption, mismanagement, demographic pressures, and ideological rigidities have kept economic growth at depressed levels. Oil accounts for 90% of export revenues. A combination of war damage and low oil prices brought a 2% drop in GNP in 1988. GNP probably rose slightly in 1989, considerably short of the 3.4% population growth rate in 1989. Heating oil and gasoline are rationed. Agriculture has suffered from the war, land reform, and shortages of equipment and materials. The five-year plan seeks to reinvigorate the economy by increasing the role of the private sector, boosting nonoil income, and securing foreign loans. The plan is overly ambitious but probably will generate some short-term relief.

GNP: $97.6 billion, per capita $1,800; real growth rate 0.1% (1989)

Inflation rate (consumer prices): 50-80% (1989)

Unemployment rate: 30% (1989)

Budget: revenues $NA; expenditures $55.1 billion, including capital expenditures of $1 1.5 billion (FY88 est.)

Exports: $12.3 billion (f.o.b., 1988); commodities—petroleum 90%, carpets, fruits, nuts, hides; partners—Japan, Turkey, Italy, Netherlands, Spain, France, FRG

Imports: $12.0 billion (c.i.f., 1988); commodities—machinery, military supplies, metal works, foodstuffs, pharmaceuticals, technical services, refined oil products; partners—FRG, Japan, Turkey, UK, Italy

External debt: $4-5 billion (1989)

Industrial production: growth rate NA%

Electricity: 14,579,000 kW capacity; 40,000 million kWh produced, 740 kWh per capita (1989)

Industries: petroleum, petrochemicals, textiles, cement and other building materials, food processing (particularly sugar refining and vegetable oil production), metal fabricating (steel and copper)

Agriculture: principal products—rice, other grains, sugar beets, fruits, nuts, cotton, dairy products, wool, caviar; not self-sufficient in food

Illicit drugs: illicit producer of opium poppy for the domestic and international drug trade

Aid: US commitments, including Ex-Im (FY70-80), $1.0 billion; Western (non-US) countries, ODA and OOF bilateral commitments (1970-87), $1.5 billion; Communist countries (1970-88), $976 million; note—aid fell sharply following the 1979 revolution

Currency: Iranian rial (plural—rials); 1 Iranian rial (IR) = 100 dinars; note—domestic figures are generally referred to in terms of the toman (plural—tomans), which equals 10 rials

Exchange rates: Iranian rials (IR) per US$1—70.019 (January 1990), 72.015 (1989), 68.683 (1988), 71.460 (1987), 78.760 (1986), 91.052 (1985)

Fiscal year: 21 March-20 March

Communications

Railroads: 4,601 km total; 4,509 km 1.432-meter gauge, 92 km 1.676-meter gauge; 730 km under construction from Bafq to Bandar Abbas

Highways: 140,072 km total; 46,866 km gravel and crushed stone; 49,440 km improved earth; 42,566 km bituminous and bituminous-treated surfaces; 1,200 km (est.) of rural road network

Inland waterways: 904 km; the Shatt al Arab is usually navigable by maritime traffic for about 130 km, but closed since September 1980 because of Iran-Iraq war

Pipelines: crude oil, 5,900 km; refined products, 3,900 km; natural gas, 3,300 km

Ports: Abadan (largely destroyed in fighting during 1980-88 war), Bandar Beheshtī, Bandar-e Abbas, Bandar-e Būshehr, Bandar-e Khomeyni, Bandar-e Shahīd Rāja'ī, Khorramshahr (largely destroyed in fighting during 1980-88 war)

Merchant marine: 133 ships (1,000 GRT or over) totaling 4,631,836 GRT/8,662,454 DWT; includes 36 cargo, 6 roll-on/roll-off cargo, 33 petroleum, oils, and lubricants (POL) tanker, 4 chemical tanker, 3 refrigerated cargo, 49 bulk, 2 combination bulk

Civil air: 42 major transport aircraft

Airports: 201 total, 175 usable; 82 with permanent-surface runways; 17 with runways over 3,659 m; 17 with runways 2,440-3,659 m; 68 with runways 1,220-2,439 m

Telecommunications: radio relay extends throughout country; system centered in Tehrān; 2,143,000 telephones; stations—62 AM, 30 FM, 250 TV; satellite earth stations—2 Atlantic Ocean INTELSAT and 1 Indian Ocean INTELSAT; HF and microwave to Turkey, Pakistan, Syria, Kuwait, and USSR

Defense Forces

Branches: Islamic Republic of Iran Ground Forces, Navy, Air Force, and Revolutionary Guard Corps (includes Basij militia and own ground, air, and naval forces), Gendarmerie

Military manpower: males 15-49, 12,302,967; 7,332,614 fit for military service; 569,647 reach military age (21) annually

Defense expenditures: 8% of GNP, or $7.8 billion (1989 est.) 148