In the ongoing "theoretical confrontation" between economic experts and government officials, while the Central Bank Governor has promised to reduce inflation, Hossein Raghfar states that Iran's economy will collapse sooner or later. According to Jamaran, Mohammad Reza Farzin, the head of the Central Bank, claimed that "in recent months, the rate of money supply growth and inflation has decreased," stating: "Our aim is to reduce the inflation rate to the 30 percent channel." He added: "A joint program to control inflation has been developed since the beginning of the year in collaboration with the Central Bank, the Planning Organization, and the Ministry of Economy, and all government agencies are working to achieve its goals." On the other hand, Hossein Raghfar, a professor of economics at Alzahra University, criticized the performance of the country's banking and tax system, saying: "The banking system in Iran has become a cancerous tumor in the country's economy; the shares of banks belong to institutions that have sometimes distorted the functioning of the banking system due to their influence. The banking system itself is engaged in corporate activities; it buys and sells currency, land, coins, and housing, all of which are the main factors disrupting the economy and increasing inflation." This economics professor expressed that under the current conditions, Iran's economy is heading towards collapse, stating: "Unfortunately, they are unwilling to admit this issue, and in response to the realities presented by experts and concerned individuals, instead of logically considering the consequences of their actions, they resort to accusations and show harsh reactions. If this situation continues, sooner or later, the country's economy will collapse, and the consequences will be severely unpredictable and widespread." He added: "We do not see a promising outlook for the country's future; what seems to be happening currently is the intensification of the slope of economic decline and collapse. Unfortunately, all governments try to hide the realities and present fabricated statistics to the people, but today more than ever, people do not accept false information; they can monitor the accuracy of official claims through their living conditions." The spokesman for Ebrahim Raisi's government stated on August 2 that "Anyone who says the indicators show we will have rising inflation either does not understand the economy or is a liar." He also claimed: "The country's economic growth, which has been negative for years, has not only become positive but in some cases has even reached double digits due to the prudence of the thirteenth government." The slogan "High prices, inflation, a plague on the people" was raised during retirees' protests in Sanandaj. An economics professor stated: "The future outlook is 'unpleasant'; we are facing a 'below-poverty' class. Instead of solving the problem, they are just covering up the issue; the continuation of 'statistical suppression' in Iran. Reactions to Ebrahim Raisi's 'insomnia'; sleep peacefully as the Stability Front is awake. Statistics speak; nearly 60 percent of the Iranian people live under the shadow of poverty. The government's response to the information about migration statistics: budget cuts and building evacuations. Users' reactions to the two-day shutdown in Iran: 'The regional superpower' has no electricity. The Central Bank dissolved the Iranian Currency Exchange Association; the association's reaction: the decision is up to the general assembly.
Farzin: Inflation Will Reach 30 Percent; Raghfar: Iran's Economy is Collapsing
The Central Bank of Iran aims to reduce inflation to 30%, but economist Hossein Raghfar warns that the economy is on the brink of collapse due to systemic issues in banking and governance. This ongoing debate highlights the tension between government assurances and economic realities faced by the populace.
👥 Key Players
📰 What Happened
The Central Bank of Iran aims to reduce inflation to 30%, but economist Hossein Raghfar warns of an impending economic collapse due to systemic issues. This highlights a clash between government optimism and expert criticism.
- The Central Bank has developed a program to control inflation.
- Raghfar criticizes the banking system as a major disruptor of the economy.
💡 Why It Matters
📚 Background
Iran has faced economic challenges due to sanctions, mismanagement, and political issues, leading to high inflation and public dissatisfaction.
Translated from the original and edited for English readers. View original source →
Translation confidence: 85%