BAKU, Azerbaijan, April 15. The Iranian government is preparing a plan to stop cash payments as subsidies for approximately 18 million citizens, Iran’s Minister of Labor, Social Welfare, and Cooperatives, Ahmad Meydari, told local media, Trend reports.
According to Maydari, close to 80 million people in Iran are currently cashing in on government aid through subsidies. The government is required to pay around 250 trillion rials (about $433 million) monthly for these subsidies.
Maydari explained that by cutting subsidies for 18 million people, the government would save about 54 trillion rials (about $93.6 million) per month.
“If those whose subsidies are cut protest, and their complaints are deemed unjustified, several benefits, such as tax exemptions, will be revoked for them, even if their objections are deemed unjustified,” he noted.
Some subsidies for products like fuel, food items, water, and electricity were eliminated in Iran in 2001. Currently, the maximum cash subsidy paid monthly to each citizen in Iran is 4 million rials (about $6.93).
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