The Statistical Center of Iran, a government agency of Iran’s regime, announced in its latest report that the country’s economic growth in the past year, including oil revenues, was only 0.2%, a figure that shows a significant decline compared to the 3.1% growth recorded in 2024.
According to the report, if oil revenues are excluded from the calculations, economic growth falls to negative 0.3%, meaning that Iran’s economy effectively contracted during the past year.
The data show that key sectors of the economy experienced declines. Agriculture contracted by 2.9%, industry by 1.5%, and the water and electricity sector by 6.5%—areas that directly affect employment, people’s livelihoods, and the energy crisis. In contrast, oil and gas extraction grew by 1.8%, making it the only factor preventing overall economic growth from turning negative.
In the services sector, although overall growth was reported at 0.3%, the real picture of the economy is different. While financial activities expanded by 8.4%, sectors tied to people’s daily lives, such as wholesale trade, retail trade, hotels, and restaurants, shrank by 1.8%.
Meanwhile, under the expenditure-based method of calculation, economic growth was reported at nearly 0%. At the same time, household consumption declined by 1.4% and fixed investment fell by 2.8%, indicating weaker demand and reduced investment in the economy.
Another important finding of the report is the 20% decline in imports of goods and services. Although this has prevented economic growth from appearing negative from an accounting perspective, experts say the decline is primarily the result of foreign currency shortages, weaker demand, and restrictions on imports of raw materials, rather than any improvement in economic conditions.
The Statistical Center’s report also shows that investment in machinery declined by 5.8%, a development that points to reduced production capacity in the coming years.
Meanwhile, economic growth in the winter of 2026 was recorded at negative 2.2%, a figure indicating that Iran’s economy had entered a contractionary phase by the end of the past year.
The Statistical Center of Iran emphasized that these figures are still preliminary and may be revised after the annual accounts are finalized.
