{"id":243478,"date":"2021-07-19T11:24:04","date_gmt":"2021-07-19T16:24:04","guid":{"rendered":"https:\/\/www.ncr-iran.org\/en\/?p=243478"},"modified":"2023-01-31T04:47:09","modified_gmt":"2023-01-31T03:47:09","slug":"irans-rising-inflation-rate-and-skyrocketing-prices-and-their-effects-on-people","status":"publish","type":"post","link":"https:\/\/www.ncr-iran.org\/en\/news\/economy\/irans-rising-inflation-rate-and-skyrocketing-prices-and-their-effects-on-people\/","title":{"rendered":"Iran\u2019s Rising Inflation Rate and Skyrocketing Prices and Their Effects on People"},"content":{"rendered":"<p>&nbsp;<\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\"><img decoding=\"async\" title=\"Iran-Economy-09\" class=\"alignnone size-full wp-image-243484\" src=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2021\/07\/Iran-Economy-09.jpg\" alt=\"Iran-Economy-09\" width=\"1000\" height=\"607\" \/>Iran\u2019s economic crisis, such as inflation has reached a <a target=\"_blank\" href=\"https:\/\/www.ncr-iran.org\/en\/news\/society\/irans-state-run-media-economic-and-social-crises-threaten-regimes-security\/\" rel=\"noopener\">critical point<\/a> due to the regime\u2019s corruption and wrong policies. The state media have confirmed this fact. These crises continue to worsen as the regime\u2019s new president, Ebrahim Raisi, gets ready to assume office.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">\u201cThe most important challenge of Raisi\u2019s government is the high number of people under the <a target=\"_blank\" href=\"https:\/\/www.ncr-iran.org\/en\/news\/economy\/iran-state-media-acknowledge-real-inflation-rate-is-71\/\" rel=\"noopener\">poverty<\/a> line. Statistics show that millions of people live under the poverty line in Iran,\u201d the state-run Setar-e Sobh acknowledged on Sunday.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">This issue should be a priority of the future government. People today live in hardships. Therefore, there should not be a situation that those living under poverty lose their trust in [the regime],\u201d wrote the state-run Setar-e Sobh.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">On Sunday, the state-run Jahan-e Sanat acknowledged that \u201cThe price of 71% of food items\u00a0have\u00a0 passed\u00a0the crisis level.\u201d<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">\u201cThe current state of the commodity market is deplorable, and its future is extremely worrying. The government cannot control the market. The critical market situation and rising commodity prices are clear examples of this lack of control over the economy and markets,\u201d Jahan-e Sanat article wrote.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">\u201cAccording to a recent report by the Ministry of Labor\u2019s Center for Statistics and Strategic Information, last June, the average price of about 71 percent of selected items was above the critical price range, indicating that item prices were spiraling out of control. This will <a target=\"_blank\" href=\"https:\/\/english.mojahedin.org\/i\/iran-inflation-rate-20210701\" rel=\"noopener\">skyrocket<\/a> the inflation,\u201d Jahan-e Sanat\u2019s article adds.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">\u201cWe are really on the verge of severe uncontrollable inflation. Currently, financing, energy supply, services, public budget, social services, and the world exchange system are the six priority problems of the country, whose functions are currently completely disrupted,\u201d Jahan-e Sanat wrote, quoting Massoud\u00a0Nilly, one of the regime\u2019s economists.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">According to Jahan-e Sanat, \u201cSome commodities have crossed the critical inflation mark. Comparing the average price of food items in this month with the same month in the previous year shows that in two cases of selected food items, the changes were more than 100%. The highest price increase belongs to pasteurized butter (121.4%), chicken (118.8%), and liquid oil (89.0%).\u201d\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">The engineered statistics announced by state media foretell an economic catastrophe.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">\u201cAnnually, if prices grow by 18% or 1.5% per month, it indicates that we have entered the warning phase. Unfortunately, in our country, the annual inflation rate has reached 24%, and the monthly inflation rate has reached 2%, which shows that we have entered a crisis phase and urgent decisions must be made,\u201d Jahan-e Sanat wrote in this regard.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">\u201cHigher inflation rates mean reduced purchasing power. Under normal economic conditions, the average inflation rate should not exceed 2% per year because countries with unstable economic and political conditions are more exposed to high inflation rates,\u201d Jahan-e Sanat wrote, acknowledging the regime\u2019s economic and political instability.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><a target=\"_blank\" href=\"https:\/\/mailchi.mp\/2077cfe36d0d\/mvalhuta4du\" rel=\"noopener\"><img decoding=\"async\" title=\"Weekly-Signe-up-logo-1\" class=\"size-full wp-image-219239 aligncenter\" src=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2021\/09\/Weekly-Signe-up-logo-1.png\" alt=\"Weekly-Signe-up-logo-1\" width=\"250\" height=\"83\" \/><\/a><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">The real cause of inflation in Iran is the rampant banknote printing, which has increased the liquidity, causing super inflation. Iran\u2019s current liquidity rate is above 3.5 quadrillion tomans or nearly $150 billion with the current exchange rate at the free market.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">\u201cSimultaneously with the growth of 228 trillion Tomans of liquidity, since the last year, the statistics show a 2 to 5 times increase in the price of 25 items. It is noteworthy that the simple and cheap food of the past has now become a luxurious item on the menu of restaurants,\u201d wrote the state-run\u00a0Hamdeli\u00a0daily on Sunday.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">Hamdeli\u00a0acknowledged that based on \u201cthe latest statistics released by the Ministry of Industry, Mines and Trade show that the prices of 25 goods have increased by about two to five times in the second month of spring this year alone. It is said that the prices of some types of livestock and poultry feed, rice, oil, poultry, as well as metal and rubber in May this year have increased by more than 100% and between two to more than five times and 40 goods including meat, rice, dairy, Beans, sugar, and tea became more than 50% more expensive.\u201d<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span data-contrast=\"auto\">The regime cannot resolve Iran\u2019s economic crises since it has created them through corruption and wrong policies. The daily protests in Iran against the regime\u2019s corruption and the recent nationwide boycott of the regime\u2019s sham election are testaments that Iranians see regime change as the only solution to their problems.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&nbsp; Iran&rsquo;s economic crisis, such as inflation has reached a critical point due to the regime&rsquo;s corruption and wrong policies. The state media have confirmed this fact. These crises continue [&#8230;]<\/p>\n","protected":false},"author":8,"featured_media":243484,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[129,130,139,198,229],"class_list":{"0":"post-243478","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-iran","9":"tag-iran-protests","10":"tag-economy","11":"tag-ncri","12":"tag-irans-economy"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Iran\u2019s Rising Inflation Rate and Skyrocketing Prices and Effects on People<\/title>\n<meta name=\"description\" content=\"Iran\u2019s economic crisis, such as inflation has reached a critical point due to the regime\u2019s corruption and wrong policies.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, 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