{"id":328604,"date":"2025-02-12T14:55:40","date_gmt":"2025-02-12T13:55:40","guid":{"rendered":"https:\/\/www.ncr-iran.org\/en\/?p=328604"},"modified":"2025-02-13T07:33:46","modified_gmt":"2025-02-13T06:33:46","slug":"state-controlled-newspaper-warns-of-looming-economic-catastrophe-in-iran","status":"publish","type":"post","link":"https:\/\/www.ncr-iran.org\/en\/news\/economy\/state-controlled-newspaper-warns-of-looming-economic-catastrophe-in-iran\/","title":{"rendered":"Iran News: State-controlled Newspaper Warns of Looming Economic Catastrophe"},"content":{"rendered":"
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Iranian woman carries several loaves of bread amid economic hardships<\/figcaption><\/figure>\n

In a stark warning published by the state-run Arman Meli <\/em>on February 12<\/a>, Iran is teetering on the brink of an unprecedented economic catastrophe, with soaring inflation, a collapsing currency, and an increasingly impoverished population fueling widespread public discontent. Experts warn that the country\u2019s economic crisis is spiraling out of control, as wages remain stagnant while the cost of living reaches unbearable levels.<\/p>\n

Economic analyst Hamid Haji Esmaeili has issued a stark warning about the situation, stating, \u201cOver the past two decades, due to relentless economic pressures and sanctions, the economic condition of Iranian citizens has steadily deteriorated. Not only has this affected the national economy, but structural inefficiencies in resource distribution have exacerbated the crisis.\u201d<\/p>\n

The Iranian rial has plummeted<\/a> to nearly 1,000,000 per U.S. dollar, while inflation has eroded the purchasing power of ordinary citizens, rendering their wages inadequate for even the most basic necessities. Many lower-income Iranians are now unable to afford essential goods, while government efforts to alleviate financial hardships through cash handouts and rationed commodity packages have largely failed to stem the tide of poverty.<\/p>\n

Esmaeili criticized the government\u2019s continued reliance on cash subsidies, which he argued have failed to yield meaningful results. \u201cFor nearly two decades, direct cash subsidies have been the government\u2019s main policy to support the people. However, with inflation soaring and prices spiraling out of control, these payments have lost their effectiveness. The number of people living in poverty has only increased,\u201d he said.<\/p>\n

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Key Economic and Social Crises in 2024
– Gas Shortages: Severe disruptions caused blackouts, halted industries, and forced closures across provinces.
– Power Outages: Blackouts due to mismanagement and #IRGC<\/a>\u2019s illicit Bitcoin mining
– Currency Depreciation: Rial hit a record low\u2026 pic.twitter.com\/sB0iWzFn1Y<\/a><\/p>\n

— NCRI-FAC (@iran_policy) January 1, 2025<\/a><\/p><\/blockquote>\n