Tehran:Iran is seeking to alleviate the economic pressure resulting from U.S. and Western sanctions by attempting to control inflation and increasing food voucher allowances for households, as stated by government spokeswoman Fatemeh Mohajerani.
According to Anadolu Agency – English, Mohajerani, speaking to Iran's state-run IRNA news agency, emphasized that inflation in Iran is tied to broader macroeconomic conditions and cannot be resolved through short-term solutions. She indicated that the government's strategy involves controlling inflation and enhancing people's livelihoods by increasing food voucher allowances.
The government aims to expand its electronic food voucher program, Kalabarg, which provides subsidies for essential food items to eligible households. Iran's economy has been under significant pressure due to U.S. sanctions, currency depreciation, and rising consumer prices, compounded by Operation Economic Outcast, a U.S.-led campaign targeting Iran's oil exports and international financial access.
Additionally, the U.S. reinstated a naval blockade in July against vessels traveling to and from Iranian ports, further affecting Iran's oil trade. Iranian Central Bank Governor Abdolnaser Hemmati reported in August that the nation's oil exports had plummeted to zero. The International Monetary Fund predicted a 6.1% contraction of Iran's economy by 2026, with inflation averaging 68.9% annually.
Economic challenges are further exacerbated by ongoing military conflict between Iran and the U.S., which began in February, alongside unresolved issues regarding sanctions relief and security in the Strait of Hormuz.