Iranian parliament discusses 2012 budget

The Iranian Parliament is discussing the draft budget for 2012, RIA Novosti reports on Thursday.

The country's budget should be cut by 5.6 percent and defense spending more than doubled, Iranian media cite the Islamic Republic’s President Mahmoud Ahmadinejad as saying.

Ahmadinejad presented a government-proposed draft budget, worth 5.1 quadrillion rials (about $416 billion), to parliament on Wednesday. Last year’s budget was worth 5.4 quadrillion rials.

Defense spending will be increased 127 percent and more money will be allocated for scientific research and healthcare.
The budget is based on an average oil price of $85 per barrel; the U.S. dollar’s average value is projected at 11,500 rials.