Economy

“Govt. budget pushes economy to brink, raises pressure on people”

Iran’s government has been warned that the next year’s budget’s almost 73% increase in income from tax and customs duties push the economy to the brink of recession and puts further pressure on the livelihood of people.

The government’s official paper, the Iran Newspaper, issued the warning in an article on the budget bill the government presented to the parliament on Sunday. 

The paper said recession is in the cards unless new tax bases that limit tax evasion are found.

“The reduction in the salary and payment raise of the government employees, and adjusting it below the inflation rate, not only increases the pressure on government employees’ livelihoods, but also has a secondary impact on the private sector’s turnover unless this reduction is targeted at higher salaries,” the paper said.

The article called for short-term compensatory policies and focus on infrastructure for production as key means to take the economy out of recession and improve people’s livelihood.

Iran’s economy is under huge pressure due to the US sanctions with official figures putting the inflation rate at around 40%.

IFP Editorial Staff

The IFP Editorial Staff is composed of dozens of skilled journalists, news-writers, and analysts whose works are edited and published by experienced editors specialized in Iran News. The editor of each IFP Service is responsible for the report published by the Iran Front Page (IFP) news website, and can be contacted through the ways mentioned in the "IFP Editorial Staff" section.

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