No sign of economic improvement after 10 months of Raisi’s ‘economic surgery’
The president of the Iranian regime, Ebrahim Raisi, unveiled a 7000-page economic plan for the following four years just before taking office. It appears that this program has been lost ten months after Raisi’s inauguration because there is no sign of it in Iran’s faltering economy. Many of the regime’s economic experts are sounding the alarm about the dangers of having no effective economic plan, which could lead to a revolting society. But it appears that the regime has other priorities, like suppressing public demonstrations.
The mismanagement of the economy by the Raisi cabinet “has resulted in the increase of the government’s current expenditures and is a generator and resonator of a stable inflation,” according to economists. Ten months later, due to poverty, discrimination, corruption, and high prices, representatives from every stratum are now protesting the regime.
Concerned economic experts within the regime issued a warning on June 11 stating that “the government’s policy, dubbed ‘economic surgery,’ is very hastily implemented without any planning, and is only a temporary measure to solve the urgent problem of the budget deficit, and is not a program called economic reform.”
“Didn’t you promise to address significant issues like inflation, unemployment, and business closure with your 7,000-page reform program with the support of dozens of research institutes and schools of economics,” they questioned Raisi in an article that was posted on the government-run website Darayan. “How are all these promises being kept?”
Many people are wondering what happened to Raisi’s pledges of a 5 percent economic growth, one million new jobs and housing units annually, a decline in the unemployment rate, and the swift eradication of absolute poverty.
He had previously predicted a 50% drop in inflation before it reached single digits. Iran’s non-oil exports will rise from $ 35 billion in 2021 to $ 70 billion in 2025, covering all of the nation’s foreign exchange needs.
Numerous signs point to a suffocating deadlock for the regime. Unlike in previous years, there are now widespread opinions among observers outside Iran that the regime’s problems won’t be resolved by signing a new JCPOA or by any concessions made by the Western nations.
“Our warning to the government is that the situation in the country is very precarious and insisting on the elimination of subsidies in this miserable period will run the people’s patience thin and they will confront the government,” the experts said in the article.
The state-run Jahan-e Sanat daily stated on June 14 that “what the government has done as economic surgery, eliminating the preferred currency, adjusting the prices of some commodities, and taking steps to make tough decisions is more a matter of urgency than of a clear and visionary economic policy” while acknowledging the economic crisis and trembling situation of the regime.