Iran is seeking to ease economic pressures stemming from sanctions from the US and Western countries by slowing inflation and increasing the allocation of food stamps to households, government spokeswoman Fatemeh Mohajerani.
Hot Topics
Mohajerani said that inflation is rooted in broader macroeconomic conditions and cannot be addressed through short-term measures alone.
"We are trying to counter the economic pressure exerted by Western countries and the US by controlling the rate of inflation on the one hand, and taking steps to improve people's living standards, including increasing the allocation of food stamps, on the other," he said.
The government plans to expand the electronic food voucher program known as "Kalabarg," which provides subsidies to eligible households to purchase basic food items.
Iran's economy is facing increasing pressure from US sanctions, currency depreciation and rising consumer prices.
In August, Washington launched a new economic pressure campaign called "Operation Economic Isolation," which targets Iran's oil exports, financial transactions, and the country's access to international markets.
Additionally, in July, the US reimposed a naval blockade on ships sailing to and from Iranian ports, further restricting Tehran's oil trade.
Iran's Central Bank Governor, Abdolnaser Hemmati, revealed in August that the country's oil exports had plummeted to zero amid ongoing conflict and sanctions.
In August, the International Monetary Fund (IMF) projected that Iran's economy would contract by 6.1 percent in 2026, with average annual inflation reaching 68.9 percent.
The economic difficulties were exacerbated by the military conflict between Iran and the US that began in February, as well as ongoing disputes over sanctions relief and security arrangements in the Strait of Hormuz.
Tags:
asiawest