Title: Iran’s Fifth Phase of Electronic Subsidy Scheme Launches with Enhanced Support and Targeted Benefits
In a significant move to bolster economic justice and support low-income households, the Islamic Republic of Iran has initiated the fifth phase of its Electronic Voucher (Kala-Barg) scheme. This strategic social welfare program, designed to alleviate inflationary pressures and ensure access to essential goods, enters its new stage with increased credit allocations and an expanded basket of commodities.
A Targeted Approach to Social Support
Following the successful implementation of four previous phases this year, the new stage, active from the month of Aban, introduces a refined, targeted payment model. As outlined by Parliament Speaker Mohammad Bagher Ghalibaf, while the Mehr month subsidy was disbursed in cash, payments from Aban onward will adopt a hybrid model, combining cash and commodity-based support.
This strategic shift involves reallocating resources by removing cash subsidies from the eighth, ninth, and tenth income deciles—the higher-income brackets—and concentrating the enhanced support on the first to seventh deciles. This ensures that state aid is directed more effectively to those most in need. The funding for each phase, approximately 25 trillion Tomans, is partially sourced from the National Development Fund.
Key Enhancements in Phase Five
The fifth phase introduces several key improvements aimed at strengthening the purchasing power of beneficiary families:
- Increased Credit: While the exact figures are yet to be officially confirmed, reports indicate that the credit for individuals in deciles 1 to 3 is expected to be maintained or increased to 500,000 Tomans. For deciles 4 to 7, the amount is anticipated to be 350,000 Tomans per person. This increase is financed by the resources reallocated from the higher-income deciles.
- Expanded Commodity Basket: The variety of essential goods covered has been significantly expanded from 11 to 15 items. The new basket includes higher-value nutritional items such as turkey meat, quail, fish, and shrimp, replacing less critical goods with a greater focus on protein-rich foods and dairy products.
- Streamlined Access: The monthly credit is automatically recharged and can be used for purchases at partnered retail chains, including Digikala, Ofogh Koorosh, and Snap Market, without the need for cash transactions.
Official Channels for Information and Queries
Authorities have emphasized the importance of relying on official communication channels from the Ministry of Cooperatives, Labour, and Social Welfare to avoid misinformation. Citizens can check their voucher balance through several mobile-based methods, including the dedicated “Shoma” application, a USSD code (#1463*500#), and a dedicated bot on the “Bale” messaging platform.
For households wishing to appeal their income decile classification, the Ministry of Cooperatives, Labour, and Social Welfare has established dedicated systems and hotlines for review and follow-up.
A Coordinated National Effort
The rollout of the enhanced subsidy scheme has been described as a coordinated national initiative. Parliamentarian Salar Abnoosh, in a recent press conference, stated that the new voucher system, providing 12 to 23 essential goods at stable prices, is a strategic measure to counter the economic pressures and “inflationary plans defined by adversaries.” He affirmed that the government, parliament, and judiciary have reached a consensus on this approach, with its positive effects expected to be felt in people’s lives by the end of Aban.
By focusing on livelihood justice, this targeted subsidy scheme is poised to substantially reinforce the purchasing power of lower-income deciles, marking a continued commitment to social welfare and economic stability.