Iran, Islamic Republic of GDP Deflator

Iran’s GDP deflator has risen to 27.34 % in 2025, placing it twelfth among the world’s economies and signalling a substantial increase from the negative 4.50 % recorded in 1961, the series’ trough. The index reached its historic high of 58.33 % in 1974, reflecting the inflationary pressures of that era, before falling back to modest levels in subsequent decades. Over the 65‑year span, the deflator’s trajectory shows a long‑run upward bias, with recent values surpassing those of peer economies such as Pakistan (28.41 %) and São Tomé and Principe (24.97 %). The persistent rise suggests that price growth remains embedded in Iran’s macroeconomic environment, driven by factors such as fiscal deficits and exchange‑rate volatility. Continued monetary tightening and structural reforms could moderate the deflator’s ascent, while external shocks or policy missteps may sustain its upward momentum.