Title: Iran Launches Fourth Phase of Electronic Subsidy Scheme to Support Families
Article:
In a significant move to bolster economic support for its citizens, the Islamic Republic of Iran has officially initiated the fourth phase of its Electronic Voucher (Kala-Barg) scheme. The rollout, which began today, is backed by a substantial credit allocation aimed at providing direct assistance for essential goods.
A Substantial Financial Commitment
The government, through the Plan and Budget Organization, has deposited a significant 27 trillion tomans to the account of the executive company managing the program. This credit is designated to support the seven lower-income deciles of the population, continuing the state’s policy of targeted economic aid.
Officials have underscored the government’s commitment to this initiative. Seyed Hamid Pourmohammadi, Head of the Plan and Budget Organization, stated, “The payment resources for the seven deciles have been secured. As in the past, we will start with the lowest deciles.” Adding to this, Hossein Norouzi, Managing Director of the Targeted Subsidies Organization, confirmed the deposit and the commencement of the fourth phase’s allocation, noting that the share for each decile will be consistent with previous periods.
Understanding the Electronic Voucher System
The Electronic Voucher is a support mechanism designed to aid low-income households. Instead of direct cash subsidies, a specific credit is loaded onto the household head’s card, which can be used exclusively for the purchase of 11 essential food and commodity items. The system is intended to ensure that support directly contributes to family food security.
Allocation and Public Scrutiny
Under the current phase, the first three income deciles are set to receive 500,000 tomans per person, while deciles four to seven will receive 350,000 tomans per person. This structured approach aims to prioritize those with the greatest need.
While the government has positioned the voucher system as a key tool to alleviate economic pressure, its effectiveness is a subject of ongoing public and expert discussion. The primary question centers on whether the allocated amounts can sufficiently cover the rising costs of a family’s monthly food basket, given the broader economic climate.
A Broader Economic Context
The success of such support schemes is intrinsically linked to the nation’s overall economic stability. Some economists view the electronic voucher as a positive step for targeted support, ensuring aid is used for essential needs. Others, however, caution that without complementary measures to control inflation, the program’s impact may be limited to providing short-term relief. The government continues to refine the program’s infrastructure to address past challenges, such as expanding the network of participating stores and improving the digital systems for a smoother user experience.
The launch of this new phase highlights the Iranian government’s continued focus on implementing social welfare policies designed to directly support its citizens and strengthen household economic resilience.