Title: New Phase of Iran’s Electronic Voucher Scheme: Enhanced Budget and Payment Options Announced
In a significant move to support household purchasing power, the Iranian Minister of Cooperatives, Labour, and Social Welfare has confirmed the completion of financial provisioning for the fifth phase of the national electronic voucher program. Following extensive coordination between the government and the parliament, the final planning for this phase is set to be concluded, with implementation scheduled for the upcoming Iranian month of Azar.
Expanded Budget and Consumer Choice
A key development in this new phase is the substantial increase in the program’s financial allocation, which has been raised from 1,500 to 3,000 billion tomans. This enhanced funding will provide eligible recipients with two distinct options:
- Recipients can opt to receive a direct credit of 500,000 tomans per person, to be used for purchasing from a list of 11 specified essential goods at designated stores.
- Alternatively, they can choose to shop at 12,000 selected retail stores, where they will receive a discount of at least 20 percent on their purchases.
This proposal, submitted by the Ministry of Cooperatives to the Ministry of Agriculture, is slated for final approval in a joint committee that includes parliamentary representatives.
A Decade of Subsidy Evolution
The Ministry of Cooperatives has been responsible for the voucher program since 2014. The current administration has refined its delivery mechanism, focusing the program’s objectives on stabilizing the price of essential goods for consumers. To date, four phases of the electronic voucher have been allocated to households, a system that grants recipients the flexibility to choose and shop from various participating retailers.
Building on Past Initiatives
Officials have highlighted the program’s ongoing development based on public participation and feedback. Ehsan Roustami, Head of the Iranian Welfare Information Center, outlined the progression of the scheme. Initial phases saw a strong public response to substituting cash subsidies with commodity-based ones. Subsequent phases successfully expanded coverage, first to include the three lowest income deciles, then five, and finally seven, with the subsidy amount increasing accordingly.
The “Fajraneh” initiative was another measure, offering a basket of 11 essential goods with an additional government credit, though it required a household co-payment.
Rising Public Satisfaction
According to surveys conducted by the Welfare Ministry, the latest implementation of the voucher program has garnered increased public satisfaction. In this model, the first three income deciles received 500,000 tomans in credit, while the next four received 350,000 tomans, with no requirement for a household co-payment. This approach has proven highly successful, with public participation rates rising from 88% in the first stage to 96% in the second.
Ongoing Government Efforts
Emphasizing the government’s continuous efforts to bolster household economics, the Head of the Iranian Welfare Information Center confirmed that new methods are being formulated in cooperation with the Ministry of Agriculture and the Planning and Budget Organization. These measures, designed to counterbalance price fluctuations, are expected to be finalized and announced to the public in the coming week.