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Iran needs $3 bln for 2009-10 fuel imports -report

Published 12/07/2009, 02:46 AM
Updated 12/07/2009, 02:51 AM

TEHRAN, Dec 7 (Reuters) - Iran needs an additional $3 billion to pay for imports of gasoline until March 2010, a government transport management official said in comments published on Monday.

Iran is the world's fifth-largest oil producer, but lacks sufficient refining capacity and imports large amounts of gasoline, burdening the budget and making it potentially vulnerable to any Western sanctions targeting such fuel trade.

Mohammad Rouyanian, who heads a government transportation management body, was quoted as saying by Abrar daily that Iran continued to import the fuel despite a reduction in the monthly quota of heavily subsidised gasoline available for motorists.

"We have a $3 billion deficit for importing gasoline until the end of this year," he said, referring to the Iranian year which ends on March 20. He gave no additional details.

In early November, the same official said Iran needed $3.8 billion for gasoline imports until the end of the Iranian year.

Iran's government plans to further reduce the quota of subsidised gasoline for private motorists to 80 litres during three winter months starting Dec. 22, from 100 litres now.

The Islamic Republic may face more international sanctions over its nuclear programme, which Tehran says is for peaceful electricity generation but which the West suspects is aimed at making bombs. (Reporting by Parisa Hafezi; writing by Fredrik Dahl; editing by Anthony Barker)

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