Deep Crisis in Iran's Economy and New US Sanctions
A new wave of economic sanctions launched by the US is further deepening the crisis in Iran's economy, which is struggling with high inflation, loss of foreign exchange, and basic food shortages.
Iran is facing a severe economic crisis characterized by runaway inflation due to depleted foreign exchange reserves, currency depreciation, food shortages, and fuel queues.
Rising Prices and Inflation
In August, vegetable oil prices in the country surged by 383 percent compared to the previous year.
Egg prices rose by 294 percent, chicken meat by 177 percent, and red meat prices increased by 148 percent.
Record Exchange Rate and Inflation Rates
On August 23, the US dollar reached a new record in the free market, hitting approximately 2 million rials.
The Statistical Center of Iran announced that annual inflation reached 84.4 percent in August.
Fuel Queues and Supply Issues
Drivers formed long queues to purchase fuel in the cities of Tehran and Mashhad.
Authorities attributed the queues and shortages to panic buying and damaged oil depots.
Challenges Faced by the Government
The Iranian government is grappling with subsidy issues, fuel smuggling, and potential restrictions on the publication of future poverty statistics.