The International Monetary Fund (IMF) has reassessed Iran’s economic outlook, improving its forecasts for both inflation and economic growth compared to previous reports.

In its latest report, the IMF said that inflation in Iran will decrease to 31.7% this year, dropping 5.8 percentage points from earlier estimates made in April.

It also projected Iran’s economic growth to reach 3.7% this year, up from a previous estimate of 3.3%.

Despite fluctuations in oil production, the IMF expects economic growth in Iran to continue, driven by the expansion of the services and industrial sectors.

Furthermore, the IMF predicts that inflation in Iran will drop to 29.5% next year, suggesting that the government’s current goal of reducing inflation to below 30% may be achievable.