
Title: Iran’s Refined Subsidy System: A Closer Look at the Economic Ranking Process
In a strategic move to enhance the efficiency of its social welfare programs, Iran employs a detailed economic ranking system for its households. This process, central to the nation’s subsidy distribution framework, is designed to ensure that government support reaches those with the greatest need.
How Households Are Economically Categorized
The system, known as “household subsidy decile classification,” sorts families into one of ten income groups—from decile one (lowest income) to decile ten (highest income). This categorization is not arbitrary; it is the result of a meticulous assessment of multiple criteria. Key factors include family size, marital status, the age of members, salary and income levels, and the ownership of properties and vehicles. This comprehensive profiling forms the definitive basis for determining a household’s eligibility for state subsidies.
The Objective: Equitable and Targeted Support
The primary goal of this refined mechanism is the equitable distribution of subsidies and financial aid. By accurately identifying different economic segments, support can be channeled more effectively to lower-income strata. Typically, households in the lower deciles (1-3) qualify for more substantial support, while those in the upper deciles (8-10) may be excluded from certain benefits, ensuring resources are allocated where they are most needed.
A Data-Driven and Transparent Methodology
The data collection for this ranking is both extensive and modernized, drawing from integrated national systems. It encompasses identity and demographic information from the National Civil Registration Organization, income data from the Social Security Organization and the Tax Administration, as well as bank transaction records and asset ownership details. Sophisticated statistical models and algorithms then process this raw data to generate a welfare index for each household, factoring in average monthly expenditure, per capita income, and the weighted value of assets.
A Pathway for Review and Appeal
Recognizing that individual circumstances can change, the government, through the Ministry of Welfare, has established a dedicated platform for appeals. Known as the “System for Objection to Subsidy Decile Classification” or the “Comprehensive Welfare System,” it is accessible at hemayat.mcls.gov.ir
. This portal allows households whose subsidy status has changed—particularly those who may have been removed from the recipient list following recent updates—to formally register their objection and request a review using their national identification number.
This initiative underscores the government’s commitment to transparency within the welfare system, providing a clear channel for citizens to engage with and query the classification process. While the system is currently undergoing updates, its existence highlights the ongoing effort to refine a key social support policy.