Iranian Parliament Official Details New Direct Subsidy Distribution System
TEHRAN – A senior Iranian parliamentarian has confirmed the rollout of a new mechanism for distributing essential goods subsidies, designed to enhance efficiency and ensure that vital commodities reach citizens at stable, affordable prices.
In an exclusive interview, Seyed Abdolkarim Hashemi, a member of the Iranian Parliament’s Planning and Budget Commission, outlined the significant shift in policy, which takes effect at the start of the Persian month of Aban.
A Shift in Distribution, Not Subsidy Value
Hashemi clarified that the core value of the subsidies remains unchanged. The fundamental reform lies in the delivery system. “No specific changes are happening in the amount of subsidies,” he stated, “but the method of distribution will change.”
The previous model of allocating preferential currency to importers or the open market is being replaced. Under the new framework, essential goods will be supplied directly to designated stores and distribution centers at cost-effective prices, effectively bypassing intermediaries.
“This method will not allow essential goods to become expensive for the lower deciles of society,” Hashemi emphasized. “Rather, the same goods will be distributed among the people at a more appropriate price.”
Safeguarding the Vulnerable
The official underscored that the primary objective of this policy is to protect the nation’s most vulnerable segments from inflationary pressures. He specified that retirees, workers, salaried employees, and those under the care of support institutions will be the key beneficiaries.
“Through this system, these groups can use their subsidy vouchers to meet at least a part of their essential and food needs,” he explained. “The goal is that, despite inflation, these segments of society are not forced to forgo food or essential items.”
Electronic Voucher System to Continue
Hashemi confirmed that the existing electronic voucher infrastructure will remain in place. The government will implement the new distribution model by recharging individual accounts. These credits will be exclusively usable for a defined list of goods at specified retail locations.
Parliamentary Oversight Ensures Implementation
Addressing the timeline, Hashemi confirmed the changes will be applied to the subsidy accounts from the beginning of Aban. He also highlighted the role of parliamentary oversight, noting that the initiative was originally mandated in the budget law.
“Unfortunately, it has not been implemented properly until now,” the representative stated. “For this reason, the Planning and Budget Commission has been pursuing the matter from a supervisory perspective, as the government’s performance in this area was not in accordance with the law, and the government must implement laws correctly.”