State-Run Media acknowledges regime corruption as a problem in Iran
FRANCE: Corruption is rampant in Iran’s economy. People are suffering as a result of the regime’s corruption and misguided economic policies. The situation has deteriorated to the point that Iran’s state media and regime leaders recognize that they are a part of the problem.
On September 19, the state-run Mardom Salarie newspaper reported,
“Iran’s rising inflation rate has become a regular economic indicator with a devastating effect on the country’s economy, primarily on the lives of Iranian families.”
“Families’ income does not cover all of their needs. As inflation has increased, some people have gotten poorer while others have become wealthier, widening the class difference and increasing unhappiness with the economic and social situation,” Mardom Salarie added.
“Nearly 25 million families live in Iran,” Mardom Salarie confessed. According to economists, around 40% of them are paid less than the Ministry of Labor’s allowed minimum wage, and others are paid even less. According to a recent figure released by the Central Bank, the country’s poverty threshold has risen to over 10 million Tomans, while the official income barely exceeds 5 million Tomans.”
Several specialists have studied the economic situation in Iran. The regime and its defenders try to blame the present economic downturn in Iran on sanctions. Some officials and state media, on the other hand, admit the regime’s participation in causing and exacerbating these problems.
According to the state-run Royedade 24, MP Hassan Lotfi stated on September 19 that “the [regime’s] laws generate corruption, and if the current trend continues, we will lose 80 percent of our political legitimacy.”
“The lack of transparency is the root of economic corruption. Now, I’d like to know which government materials are open to the public. Which information system is available to the media? How can people find out how much we earn in the legislature? Where are officials’ tycoons’ assets invested, and where did these assets come from?” Lotfi smiled and nodded.
Aside from corruption, another factor that has contributed to rising prices is increased liquidity.
In this regard, Mardom Salarie said,
“One of the main reasons for inflation is the growing budget deficit and the government’s inability to resolve this issue.” To make up for its fiscal deficit, the administration began manufacturing banknotes, which increased Iran’s liquidity. As a result, Iran’s inflation rate quickly soared and continues to rise since its output rate lagged behind its liquidity expansion.
Iran’s inflation rate has reached “more than 45 percent this August,” according to Mardom Salarie. With the present budget deficit and Tehran’s incapacity to increase commerce, this is an unprecedented level that is expected to approach 60%.”
“In this situation, the government should either control inflation or prevent the increase of prices by subsidizing the consumer or increase the salaries so that the people can cover their expenses. But while the government is facing a budget deficit and has its hand in people’s pockets.” Mardom Salarie wrote, “It’s unlikely that this will happen.”
“As a result, it appears that the families’ situation will deteriorate in the coming weeks and months, resulting in more goods and services being removed from people’s tables,” Mardom Salarie says.
As MP Lotfi recognized after years of corruption and violence, the regime has long lost its political credibility. As a result, public outrage and protests against the regime are on the rise.
On September 14, the state-run Eghtesad-e Pouya cautioned,
“We must acknowledge that the country’s economic situation is worse than can be imagined, and its dangerous and harmful social, political, and moral effects and consequences should not be overlooked.”
About the Author:
Hamid Enayat is an Iranian political analyst and freelance writer based in Europe.