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Official: Iran’s economic crisis forced 70% of factories to close

October 25, 2018 at 9:17 am

People walk through the old grand bazaar where shops are closed during a protest in Tehran, Iran on 9 October 2018 [Twitter]

Iran’s economic crisis has caused 70 per cent of factories, workshops and mines to shut down or go bankrupt, the IRNA news agency reported Expediency Discernment Council member Mostafa Mirsalim saying.

“The main industrial activities in the country are under the ministry of industry, mining and trade, therefore the person who runs it must be skillful and a reliable manager without any personal, family or political interest in order to reduce the economic recession,” Mirsalim said.

There had been warnings that factories had to shut down due to lack of raw materials and hard currency as a result of US sanctions imposed on Iran after America unilaterally withdrew from the nuclear deal sign in 2015.

Pressure on the Iranian government of President, Hassan Rouhani is mounting as the living conditions worsen following the collapse of the local currency.

According to official figures, food prices have increased from between 50 and 100 per cent, prompting the government to consider distributing 10 million ration cards worth $7 per month.

Read: Why US sanctions won’t change Iran’s foreign policy

Iran Deal - Cartoon [Sabaaneh/MiddleEastMonitor]

Iran Deal – Cartoon [Sabaaneh/MiddleEastMonitor]