Iran’s parliamentary health committee is investigating the allocation of $55 million in subsidized foreign currency to one importer of hip and knee implants, after its chairman said much of the equipment went to private hospitals and a small group of surgeons.
Hossein-Ali Shahriari told the ILNA news agency that the company, which he did not identify, imports implants made by US medical-device manufacturer Zimmer. He said it received about $37 million at the heavily subsidized rate of 42,000 rials to the dollar in the Iranian year ending March 2025, followed by another $18 million at 285,000 rials per dollar in the following year.
Both rates were far more favorable than those available on Iran’s open currency market, giving importers access to dollars at a fraction of their market cost. For comparison, the dollar trades at about 1,875,000 rials on Iran’s open market today. Average monthly income in Iran is about $150.
Shahriari said the committee had received complaints from across Iran about shortages of knee and hip implants in public hospitals. It has sought records from the Central Bank and the Food and Drug Administration to determine which companies received subsidized currency and what happened to the imported equipment.
According to figures cited by Shahriari, 73% of the implants distributed in Tehran went to private hospitals. He also reported sharply unequal distribution outside the capital, with some provinces receiving only a fraction of the supply.
Patients in several provinces were required to pay money directly before company representatives would provide an implant, he said. “Why should people have to pay hundreds of millions, which many of them cannot afford, leaving them either to die or to sell their homes and cars for treatment?” Shahriari said.
He called on the judiciary, the national inspectorate and intelligence and oversight agencies to examine the company’s previous currency allocations, arguing that the scale of the case suggested a wider network rather than the actions of one person.
Shahriari did not provide evidence establishing criminal wrongdoing, and the importer was not named in the interview. No response from the company or Iran’s Food and Drug Administration was included in the ILNA report.
The allegations point to a recurring problem in Iran’s multiple-exchange-rate system. Preferential dollars were intended to keep medicines and medical equipment affordable, but the gap between subsidized and market rates created lucrative opportunities for intermediaries. President Masoud Pezeshkian acknowledged the problem in January, saying recipients of dollars at the 285,000-rial rate had “pocketed” the benefit rather than passing it to consumers.
The dispute comes during a broader healthcare crisis. People in Iran have sent messages to Iran International about severe medicine shortages, delays in foreign-currency allocations and price increases of up to 400% for some drugs, pushing more patients toward unaffordable or illicit sources.
"We're going to hit them very hard tonight," Trump said. "We're going to hit them hard tomorrow night. We're gonna hit them really hard the night after."
"Next week it gets really bad for them because next week comes the power plants," he said. "Next week comes the bridges. We're gonna knock out all their power plants. We're going to knock out all their bridges unless they get to the table and negotiate."
Trump said US representatives had recently spoken with Iranian negotiators but said Tehran had repeatedly broken agreements.
"They want to make a deal. But every time they make a deal, they break it," he said.
"You better make a deal. You're not going to have anybody left," Trump added, saying the United States was taking care to limit harm to civilians.
He also said Iran's military capabilities had been significantly weakened but retained some ability to fight back.
"They have some fight left, but they don't have much," he said.
Trump added that the United States could quickly strike a nuclear site outside Tehran where new activity had been reported.
"We can hit that one very easily," he said. "It only takes a matter of minutes for us to do it and do major damage."
Ground campaign and Kharg Island
Trump declined to say whether the United States could launch a ground campaign in Iran but suggested he would not rule out the option entirely.
"I don't want to say that either, but I would say no," he said when asked by Fox News whether he was ruling out a limited ground campaign. "Sometimes you need a ground campaign, but we have other people that will do the ground campaign for us."
Trump said US forces had already struck Iran's Kharg Island three times but had deliberately avoided its oil facilities.
"I said, 'Hit everything but the oil,'" he said. "Leave that little area. Don't touch the oil because I don't want that in terms of the world economy."
Asked whether the United States could seize the island, Trump said: "If we degrade them far enough and deep enough back, I would do that."
Hormuz policy
Trump said he had abandoned plans to impose a 20% fee on cargo transiting the Strait of Hormuz, saying countries in the region had instead agreed to make major investments in the United States.
"I was going to charge a fee, but instead they'd rather spend a lot of money in the United States," he said.
He said the United States had reinstated a naval blockade on Iranian shipping and that its objectives, including keeping the Strait of Hormuz open, had largely been achieved, although commercial traffic through the waterway has fallen sharply.
"I think they're completed now, honestly," Trump said of the military campaign. "If we left right now, it would take them 20 years to rebuild what they have."
Iranian retaliation vows
Trump's remarks came as Iranian officials and lawmakers stepped up calls for retaliation following US strikes and the killing of former Supreme Leader Ali Khamenei.
About 180 lawmakers said on Tuesday that Iran should treat its memorandum of understanding with the United States as terminated after Trump declared the agreement over.
They pledged to pursue retaliation for Khamenei's killing and called for a special parliamentary committee to review negotiations with Washington.
The lawmakers also backed legislation on the management of the Strait of Hormuz and voiced support for Iran's armed forces.
Iran's army said on Wednesday it would deliver a "decisive response" after a US strike on a barracks in Bampur near Iranshahr killed seven military personnel.
"The retaliation for the blood of the martyrs of this crime is certain and imminent," the army said.
Calls for military action
Manouchehr Mottaki, a former Iranian foreign minister who is now a member of parliament, called for a ground assault on a US military base in the region.
"My proposal is that we launch a ground attack on one of the US bases in the region, capture 100 Americans and bring them to Iran," Mottaki said.
Another lawmaker, Shahrokh Ramin, criticized a parliamentary proposal titled "Revenge against Trump," saying genuine retaliation would not come through legislation.
"Someone who wants to take revenge does not turn it into a law," Ramin said. "If we are truly seeking revenge, we take revenge, and the way to do it is not through legislation."
Mahmoud Nabavian lost his position as the committee's first deputy chairman, while Ebrahim Rezaei was replaced as the committee's spokesperson, according to the committee's annual leadership vote.
Ebrahim Azizi was elected committee chairman, Abbas Moghtadaei and Amir Hayat-Moghaddam were chosen as first and second deputy chairmen, Hassan Ghashghavi was elected spokesperson, and Behnam Saeedi and Yaghoub Rezazadeh became the committee's secretaries.
Critics of US negotiations
Nabavian and Rezaei had emerged as two of parliament's most vocal opponents of negotiations with Washington during and after the conflict with the United States and Israel.
Nabavian repeatedly argued that any agreement with Washington would amount to an "absolute loss" for Iran and said the country's experience of negotiations had only brought "broken promises, deception and benefits for the enemy."
He also criticized Parliament Speaker Mohammad Bagher Ghalibaf and Foreign Minister Abbas Araghchi.
Earlier this month, Nabavian also vowed to oppose what he described as a "coup," accusing unnamed political rivals of trying to sideline hardline forces.
Rezaei also said Iran was not intimidated by what he described as threats from US President Donald Trump and that the country was "ready to fight any evil."
In a separate post, he praised the Revolutionary Guards for what he described as asserting Iran's authority over the Strait of Hormuz.
Leak controversy
Nabavian also came under scrutiny after reading excerpts on state television from what he described as secret correspondence from Supreme Leader Mojtaba Khamenei on negotiations with the United States. The broadcast was cut off as he continued speaking.
Nabavian said Khamenei had repeatedly objected to the course of the talks and set conditions that were not reflected in the Iran-US memorandum of understanding, including securing compensation from the United States, preserving Iran's uranium enrichment program and maintaining exclusive Iranian control over the Strait of Hormuz. He also said Khamenei wanted Iran to begin charging some ships to transit the waterway.
State broadcaster IRIB later said Nabavian's references to classified correspondence could warrant legal action. Ghalibaf adviser Amir Ebrahim Rasouli subsequently called on authorities to identify the source of what he described as confidential state information provided to Nabavian.
Parliament returns after months
The committee reshuffle came a day after parliament returned to session, with Deputy Speaker Hamidreza Hajibabaei presiding instead of Ghalibaf.
More than 250 lawmakers attended the session, during which legislators chanted slogans calling for revenge for the killing of former supreme leader Ali Khamenei and other senior officials killed in US and Israeli strikes.
Hardline lawmakers affiliated with the Paydari Front had spent months criticizing Ghalibaf for parliament's inactivity, accusing him of preventing lawmakers from meeting in order to avoid parliamentary action against negotiations with the United States. They also repeatedly called for Araghchi's resignation over the talks.
Ghalibaf's office said at the time that the suspension of parliamentary sessions had followed instructions from security authorities.
On paper, Iran does not have a jobs problem. A 7.5 percent unemployment rate is the sort of figure many governments would happily defend. But fewer than four in ten working-age Iranians are actually employed.
According to the International Labour Organization, the global employment rate is about 58 percent. Roughly six out of every ten working-age adults worldwide have a job. In Iran, it is fewer than four.
The explanation lies in how unemployment is calculated.
Of Iran's 87 million people, about 66 million are of working age. Around 24 million have jobs and two million are officially unemployed, meaning they are actively looking for work. The remaining 40 million are classified as economically inactive and excluded from the unemployment rate altogether.
That apparent contradiction rests on two statistical rules.
Anyone who worked for just one hour during the survey week counts as employed. A motorbike courier who completed two deliveries is counted alongside a salaried engineer with full benefits.
Only people actively searching for work are considered unemployed. Someone who searched for years before giving up disappears from the calculation entirely.
The more people lose hope, the healthier the official unemployment rate appears.
Not everyone outside the labour force should be counted as unemployed. Many are students, retirees or people who choose not to work.
Iran's own statistics provide some insight, although they have not published a detailed breakdown of the inactive population since 2017.
That census identified roughly 12 million students and 3.7 million retirees or people living on pensions or other non-employment income.
Retirement explains only part of the picture. Iran remains a relatively young country, with an average age of about 32 and only around seven percent of the population over 65.
University enrolment has also fallen sharply—from just under five million students a decade ago to just over three million today—meaning fewer young people are remaining in education while waiting for jobs.
The largest category was around 20 million "homemakers." In Iran, women have outnumbered men at university for years, yet only around 12 percent of working-age women participate in the labour market, compared with roughly 50 percent globally. That reflects not only personal choice but also decades of bureaucratic and social barriers limiting women's employment.
Another 3.7 million people could not be clearly classified at all: they were neither employed, studying, retired nor looking for work.
Even before the latest conflict, Iran's labour market was deteriorating.
In the Persian year ending in March 2025, economic growth of about three percent produced 298,000 net jobs. The following year, the figure collapsed to just 34,000, while around 800,000 people left the labour force altogether.
The official unemployment rate nevertheless fell to 7.5 percent.
The forty-day war with Israel and the United States then dealt another severe blow. Deputy Labour Minister Gholamhossein Mohammadi says more than one million jobs were destroyed and around two million people became unemployed. Labour economist Hamid Haj-Esmaili estimates the true losses could reach between three and four-and-a-half million within months.
The International Monetary Fund expects Iran's economy to contract by 6.1 percent this year. Taken together, those figures raise a broader question: how can unemployment remain at just 7.5 percent?
Start with the government's own baseline: two million unemployed in a labour force of 26 million equals about 7.5 percent.
Now add only what the deputy labour minister himself acknowledges—two million newly unemployed because of the war. The unemployment rate immediately doubles to roughly 15 percent.
Use labour economists' higher estimates of wartime job losses and it rises to around one in four.
The picture darkens further when considering the large number of people who have simply stopped looking for work.
Around 60 percent of Iranian workers are employed informally, without contracts or unemployment insurance. Of the millions believed to have lost their livelihoods during the war, only about 290,000 were eligible to claim unemployment benefits.
Even without counting every economically inactive Iranian as unemployed, it becomes increasingly difficult to reconcile an official jobless rate of 7.5 percent with the broader condition of the labour market.
Independent analysts estimate that, once discouraged workers and wartime job losses are taken into account, effective unemployment may now approach one in three people participating—or seeking to participate—in Iran's labour market.
Whether that estimate proves correct or not, the broader trend is unmistakable.
The government's headline unemployment rate increasingly reflects who is counted rather than who actually has work.
Historically, recessions push unemployment sharply higher. An economy expected to contract by more than six percent would normally produce a noticeable rise in joblessness. Yet many newly unemployed Iranians are likely to follow the same path as the 800,000 who left the labour force last year: stop searching for work and disappear from the statistics.
By March 2027, Tehran may still be reporting single-digit unemployment.
The more revealing figure may remain the one at the beginning of the story: barely 37 percent of working-age Iranians have a job.
