The report added that private sector partially accounted for a total 8.3 percent growth in gross fixed capital formation in the same year.

It added that the gross fixed capital formation of the private sector with a 6.5 percent growth stood at rls 1495.4 billion last year.

Various economic and non-economic variables affected the level of the gross fixed capital formation, including stable or lower general price levels of goods and services last year compared to the year before and higher growth rate of the gross domestic product (GDP) last year compared to the previous year at the 1982 fixed prices.

Also, the report said the higher volume of investments by the public sector as well as other non-economic factors, including social and political elements also contributed to the increase in the growth in fixed capital formation.

It said that a large portion of growth in the fixed capital formation is related to the increase in investments in the housing sector.

Last year, the growth in fixed capital formation at the 1982 fixed prices in housing and machinery sectors were higher by 9.7 percent and 3.2 percent, standing at 786.2 billion and 709.2 billion, respectively, the MPO added.

The figures contrast with the 3.2 percent growth which was the average growth in the fixed capital formation of the private sector at the 1982 fixed prices, during the second Five-Year Development Plan (March 1994-March 1999).

In addition, the public sector's gross fixed capital formation topped rls 999.5 billion at the 1982 fixed prices, last year. This registered a 10.7 percent increase compared to the figure in the year before, which itself was 14 percent lower than the preceding year.

The fluctuations in the public sectors' gross fixed capital formation was primarily due to lower development expenditures by the government two years ago versus a higher level of outlays last year.

The report said that due to stabilization and higher prices of oil, government revenues had increased last year.

... Payvand News - 2/4/01 ... --