Iran International
The possibility of US military action against Iran is eroding Iranians’ purchasing power and deepening their sense of insecurity, according to Iranian economic news outlets which provide a rare window into economic behavior amid an internet blackout.
Financial woes helped spark anti-government protests late last which which were crushed with deadly force, in a bloody crackdown in which security forces killed thousands.
The political uncertainty and a threat of attack by the United States has only deepened
Several economic publications, including Donya‑ye Eghtesad, the state‑run ISNA, and Tejarat News, published guidance on Tuesday advising citizens on how to protect their assets from devaluation, how to plan purchases to minimize the impact of price hikes and when to buy essential goods amid market volatility.
Reports indicate that many people are stockpiling non‑perishable items, viewing goods as safer than cash amid relentless inflation.
Those with savings, they noted, have increasingly turn to gold in any form, seeing it as a hedge against currency devaluation and a liquid asset that can be converted into cash at any time.
At the same time, households are keeping only small amounts of cash on hand, enough to cover basic needs in the event of internet outages that could disrupt ATMs and banking services.
The outlets warned that persistent inflation was fuelling panic buying of basic necessities that was distorting normal spending habits.
Economic malaise has festered as the Iranian rial currency again hit a new low this week and the internal crackdown suggests no near resolution to deep US and international sanctions along with persistent corruption and mismanagement.
US President Donald Trump on Tuesday suggested Iran would face a harsh attack if it did not accede to demands by Washington over its nuclear program and military posture.Iranian foreign minister Abbas Araghchi responded that Tehran was ready with “fingers on the trigger.”
The Shargh newspaper wrote that foreign policy news and not economic it is not economic fundamentals were driving market behavior and fears assets would devalue further.
The Economic dailies predicted that the impact on food and essential goods prices would be sharp and unavoidable.
As Donya‑ye Eghtesad observed, Iran’s economy is effectively in a state of suspended animation, with the key to stability lying in the hands of diplomats.
This prolonged uncertainty, the paper argued, is creating chronic anxiety among the public: a volatile mix of fear, despair, and anger that increasingly blames authorities deemed responsible for managing the crisis.
