VP: Iran's Next Year Budget Bill Planned on 1mln bpd of Crude Export

"The growth of oil revenues will be -68% next year and we have decided to export 1mln barrels per day as figures stood at 1.5 barrels in the current year," Nobakht told reporters in a press conference in Tehran on Monday.

He said the country is resolved to reduce sales of raw materials to earn more added value through the sales of processed products.

Nobakht also said that the price of crude in the next year budget has been foreseen to stand at 50$ (average), and further pointed out that good contracts have been signed in the oil industry in the past few months.

Iranian President Hassan Rouhani said on Sunday that the country's budget bill for the next fiscal year had been set in a way to offset the negative effects of the US sanctions and, hence, includes a significant cut in oil revenues.

“Our budget for the next year, like the current year, will be based on resistance against sanctions; the budget’s message is that we will manage the country despite all sanctions,” President Hassan Rouhani said in an open session of the Parliament in Tehran.

“Next year’s budget is not much reliant on oil. Anticipated revenues for oil and gas sales are close to the required budget for civil projects,” he said, adding that 700 trillion rials (some $5.3 billion) have been allocated to such projects.

Rouhani was at the Parliament to submit the next year’s budget bill.

“We were under the toughest sanctions last year; we promised that the administration, with the support of the resistant Iranian nation and other organizations, would make every effort to provide and implement the budget and this has been realized by now,” Rouhani said.

Nine months have passed since the start of the local calendar year of 1398 and all the daily budgets have been provided, he said, adding that 340 trillion rials (some $2.6 billion) have been allocated to civil projects. “Major projects have either been inaugurated or will be by the year-end.”

“All this has been realized while Americans and Zionists thought that sanctions would cripple the government, but they gave up on that and will keep being disappointed in the future,” Rouhani said.

In October, Governor of the Central bank of Iran (CBI) Abdolnasser Hemmati announced that the country has further reduced its reliance on oil revenues to bring the share of the income earned though crude sales in the budget to less than 30 percent.

“Oil has had the major share of production and exports in Iran’s economy for 50 years, but today less than one-third of the exports is related to oil,” Hemmati wrote on his Instagram.

He reiterated that Iran’s economic growth had been greatly affected by the oil sector, but now the situation has changed.

“The CBI will be able to create stability in non-oil sector by adopting monetary and currency policies,” the CBI governor added.