Title: Economic Official Confirms November Launch of Electronic Subsidy Scheme, Assures Stable Prices for Essential Goods
Tehran – A senior Iranian economic official has provided key details and assurances regarding the upcoming electronic subsidy scheme for essential goods, confirming its implementation next month and emphasizing its role in stabilizing market prices.
Subsidies Shield Against Inflation, Official Says
Ahmad Anarki Mohammadi, a member of the Iranian Parliament’s Economic Commission, stated that the primary objective of the electronic subsidy is to protect vulnerable households from the impact of inflation. He clarified that the scheme is specifically designed for lower-income families and will insulate the price of designated essential goods from market fluctuations.
“The public may expect price hikes given the current situation, but the subsidy booklet has a specific definition,” Mohammadi was quoted as saying. “It is allocated to weaker and less affluent families, and therefore, inflation cannot be applied to those goods.”
Government and Parliament Align on Timely Rollout
The lawmaker confirmed that a coordinated decision has been made at the highest levels of government to expedite the program. “What the government intends, with the parliament’s assistance, and the decision made in a meeting of the heads of branches of power, is that the subsidy scheme will be implemented from the beginning of [the Persian month of] Aban, and prices will remain stable,” he explained.
Mohammadi, who represents Rafsanjan in the parliament, elaborated that a significant quantity of essential goods has already been procured using a preferential exchange rate, forming a buffer to ensure price consistency upon the scheme’s launch.
Mechanism Aims to Eliminate “Rent-Seeking”
Addressing the economic rationale, the official noted that the current system, where some goods are imported at a lower official exchange rate but sold in a market with a higher rate, can create opportunities for profiteering. He stated that the direct subsidy model is the most effective way to ensure financial support reaches the people directly, similar to existing bread subsidies, thereby cutting out intermediaries.
“The best action we can take is to give this [support] directly to the people,” Mohammadi asserted.
Infrastructure Preparedness Cited for Initial Delay
When questioned about the earlier postponement of the scheme, the economic commission member attributed it to necessary groundwork. “The reason for the delay was that the mechanism was not ready, the government did not have precise statistics, and overall, the infrastructure was not prepared,” he said, indicating that these hurdles have now been addressed.
The official concluded by confirming that the initial basket of subsidized goods will contain 13 essential items, as identified by the Ministry of Agriculture. This list, procured using the preferential exchange rate, is designed to meet the population’s core needs and can be modified in the future based on public requirements.