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Continuing Health Crisis in Iran with the Elimination of Preferential Currency for Medicine under the Government of Massoud Pezeshkian

Feb 3, 2026 February 3, 2026 2 min read 📰 VOA Persian
📋 Key Takeaway

The Iranian government plans to eliminate preferential currency for medicine, exacerbating the ongoing health crisis. Experts warn that this will lead to increased drug prices and further jeopardize public health. The situation highlights the government's prioritization of military and ideological spending over the basic health needs of its citizens.

🔍 Quick Context Guide
💡 Bottom Line: Iran's decision to cut preferential currency for medicine threatens to worsen its health crisis amid economic struggles.

👥 Key Players

Massoud Pezeshkian MENTIONED
Minister of Health
"As the Minister of Health, Pezeshkian's policies directly impact Iran's healthcare system and public health."
Ebrahim Raisi MENTIONED
President of Iran
"Raisi's administration is responsible for economic policies affecting subsidies and healthcare funding."
Hassan Nayebhashem MENTIONED
Physician and Human Rights Activist
"Nayebhashem provides critical perspectives on healthcare policies and their human rights implications."
Ahmad Alavi MENTIONED
Professor and Economic Researcher
"Alavi offers insights into the economic priorities and implications of government policies."

📰 What Happened

The Iranian government plans to eliminate the preferential currency for medicine, which is expected to increase drug prices and worsen the health crisis. Experts warn that this decision prioritizes military and ideological spending over public health needs.

  • The preferential currency for medicine will be cut off next year.
  • Experts warn that this will lead to increased drug prices and further jeopardize public health.

💡 Why It Matters

🇮🇷 For Iran: The elimination of the preferential currency for medicine could exacerbate the health crisis and increase public dissatisfaction.
🌍 Regional: Iran's internal instability could have ripple effects on regional security and economic conditions.
🌐 International: Western countries may view this as a sign of Iran's prioritization of military spending over humanitarian needs.

📚 Background

Iran is facing severe economic challenges due to international sanctions and internal policy decisions, impacting its healthcare system.

Iranian economic policy Healthcare in Iran
📡 Source: INTERNATIONAL
📊 Confidence: 70%
Voice of America is a U.S. government-funded international broadcaster, which may present perspectives critical of the Iranian government.

While Ibrahim Raisi's government has caused a rise in drug prices and shortages in Iran by eliminating state subsidies, the Minister of Health in Massoud Pezeshkian's government has recently stated that the preferential currency for medicine will be completely cut off next year. Hassan Nayebhashem, a physician and human rights activist, and Ahmad Alavi, a professor and economic researcher, discussed health and medicine issues and budgets in this sector on the evening analytical program of Voice of America on Friday, December 9, warning that the health of the community would be weakened if the current policies of the Islamic Republic in the health sector continue. Nayebhashem criticized Pezeshkian's government's decision to eliminate the preferential currency for medicine, stating that if this plan is implemented, drug prices will rise again and the situation in this area will become complicated. This physician and human rights activist noted that the total currency allocated to Iran's health needs is less than 13 billion euros, adding: 'This amount does not meet the health needs of the country at all, and diverting the budget towards government objectives instead of meeting health needs will seriously endanger the lives of the Iranian people.' Ahmad Alavi also stated on the evening analytical program of Voice of America that the government's priority is not the welfare, food, and health of the Iranian people. This professor and economic researcher added that the Islamic Republic, amidst sanctions and economic pressures on the Iranian people, allocates the majority of its budget to military, security, and ideological activities, striving to ensure its survival rather than addressing the basic needs of the Iranian people. The government of Massoud Pezeshkian is seeking to eliminate the preferential currency for medicine next year, while the Research Center of the Islamic Consultative Assembly reported in November that one-third of Iranians were unable to meet their basic needs last year. The head of the Human Pharmaceutical Producers Syndicate also warned this spring that this industry requires imports of raw materials, but institutions and organizations, including the Central Bank, do not pay special attention to currency allocation as they should.

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Translated from the original and edited for English readers. View original source →

Translation confidence: 85%

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