Raisi Sets Records; Inflation Rising Daily, Households Shrinking Daily

The Central Bank of the Islamic Republic, after halting the publication of inflation data, announced that it seems the inflation rate for the year 1402 (2023) will break the record of 49% set in 1374 (1995). In its latest report, the bank declared the point-to-point urban inflation rate for Azar 1402 (November 2023) to be 54.2%, with the average urban inflation rate at 55.9%. However, the Statistical Center of Iran had previously reported the point-to-point inflation rate for the last month of autumn 1402 to be 40.1% and the average inflation at 44.1%, showing a discrepancy of 14% and 16% respectively compared to the Central Bank's report. The significant difference between the statistics provided by the two economic data centers indicates chaos and instability in Iran's economy. While the policy of President Ebrahim Raisi's government is based on 'hiding statistics' rather than controlling inflation, reports indicate that meat continues to have an inflation rate exceeding 90%, making it the most expensive item in Iran. According to this report, in Bahman 1402 (January 2024), the annual inflation for consumer goods and services in the 'red meat and poultry' sector was 93.3%, and for red meat, white meat, and their products, it was 90.7%. This means that each Iranian spent at least 90% more on meat in Bahman 1402 compared to Bahman 1401. Additionally, in the eleventh month of 1402, public transportation services became 57.4% more expensive compared to the same period last year, and consumers paid 62.5% more for hotel and restaurant services than the previous year. With the approach of Nowruz 1403 (2024) and the new year, it seems that with 48.3% inflation in clothing and footwear and 51% inflation in fruits and nuts, purchasing items for the New Year and hosting guests will be more challenging for this segment of society due to insufficient salaries and bonuses allocated for wage earners. Jamshid Asadi, an economist, stated in an interview with VOA in Shahrivar (September) this year that the increasing inflation in Iran is due to the creation of unsupported money and that there is no positive outlook for improving economic conditions in Iran. An economic journalist also mentioned at that time that the real inflation in Iran is higher than what is reported in official statistics, and evidence suggests inflation will continue above 40%. This report once again shows that runaway inflation has become one of the biggest economic challenges in Iran, severely affecting people's daily lives and shrinking their households.