A look into Quest’s PESTL Analysis:

Over the many years that Quest has been active in Iran, our team has conducted extensive research through a combination of both, Desk Research and Face-to-Face interviews to conduct PESTAL analysis on the Iran market. Below is a short overview of the same from a few years ago.

The inflation rate for IRAN is at 13.50% for year 2010, while it was 25.60% in 2009.

It is a transition economy with a large public sector and an estimated 50% of the economy being centrally planned. A unique feature is the large size of religious foundations, whose combined budget makes up more than 30% of the central government.

The unemployment rate is at 11.80%. According to official estimates some 3.5 million working age Iranians are currently unemployed. Our research shows that the jobless rate is high among women and youths in the Islamic Republic.

The GDP- real growth rate is at 1.50%. GDP per capital is at $ 4732.

Iran is the 18th largest economy purchasing power parity.

Iran’s non-oil exports, excluding gas, condensates to the Gulf Cooperation Council [GCC] were valued at $2.281 billion during the first 9 months of the current Iranian calendar year (March-December, 2010), showing 25 percent over the same period last year.

According to Quest’s economical researches conducted in 2011, the economic growth prospect for IRAN in 2011 was at 3.2%. Prospects for both, developing and high income economies of Middle East and North Africa, should improve through the year 2011.

GDP growth for developing oil exporters should reach 3.1 and 3.7 percent, respectively, in 2010 and 2011.

Quest’s economical analysis through various market research studies conducted between 2008 to 2010 shows Iran’s estimated GDP (PPP) as of 2009 was $876 billion. Its growth in 2009 slowed due to the decline in international oil prices in late 2008. Realized annual rate in 2010 stood around 2.6%. Double-digit inflation rates have hampered Iran’s growth in the past couple of years. As of Feb 2010, annual inflation decreased to 11.5% from an average of 14% in the previous years according to the Central Bank of Iran. The global letdown in 2008 did not affect Iran’s economy directly. Our research concluded that the lack of interaction with the global economy had safeguarded Iran from the 2008 global economical letdown.