Tehran: Inflation in Iran has gone up by a whopping 37%, and the Iranian people have to pay ten times the price for purchases. It is said that the Iranian people have to shell out 130,000 Rials per US dollar. At the same time, unemployment has moved up to 12%, rendering more than 3 million Iranians jobless. Expressing discontent that these circumstances are the result of US sanctions, the Iranian population has been saying that the backbone of the Iranian economy has been broken. Against this background, the United States has indicated imposing fresh sanctions against Iran, which will aggravate the situation of the Iranian people.
Last year, US President Donald Trump announced withdrawal from the Iran nuclear deal and imposed sanctions against Iran. The Iranian economy had declined because of these sanctions, and its repercussions were felt in many major cities of Iran, including capital Tehran. It was because of the wrong policies of the government that Iran was faced with these crises like inflation and unemployment, were the accusations levelled on the Iranian government. The workers, traders, students and professionals had taken to the streets to protest against the ruling government.
Iran has warned the United States of an equivalent retaliation at the military level. Iran, who shot down a US drone, in the last week has claimed that the planning for the future attacks on the United States was also in place. Iran has also demonstrated its capabilities through new missiles, submarines and missile defence systems. But Iran clashing with the United States at the military level has utterly failed to counter the US sanctions.
Iranian leader and officials, along with the Iranian people have been claiming that the US sanctions are nothing but an economic war. But Iran seems to have become defenceless in this war. The jolt given by the United States to Iranian oil export, the backbone of the Iranian economy has proved to be the prelude to the disastrous aftermath, for the Iranian government and the people. As per the claims by the international analysts and financial institutions, the Iranian oil exports have come to almost nil. No countries other than Russia, China, Syria and Iraq have been importing oil from Iran.
The export to these countries has been increasing strain on the Iranian economy instead of being beneficial to the economy. Prestigious institutions like the World Bank and the International Monetary Fund (IMF) also have clearly warned that the Iranian economy is in dire straits leading to the sufferings of the Iranian people. The World Bank has warned that Iran will have to face a severe economic recession whereas the IMF has warned that the crisis in the Iranian economy will continue even for the second successive year.
Iranian President Rouhani attributed the deteriorating situation in Iran to the US sanctions and also said that the situation could become worse as during the Iraq war of the 80s. However, while expressing this concern, the Rouhani government has failed to reassure the Iranian people and to make necessary changes.
Therefore, the future US sanctions will further increase the pressure on Iran, and there are indications that it might erupt in the form of public discontent. Despite the government appeals, the Iranian people have been making statements about their backbone being broken. As per analysts, the Iranian government will have to face the consequences shortly.