Inflation leaves Iranian pensioners unable to cover basic costs
Iranian pensioners say their monthly income no longer covers basic living expenses, with many forced to seek additional work as inflation continues to erode their purchasing power.
Iranian pensioners say their monthly income no longer covers basic living expenses, with many forced to seek additional work as inflation continues to erode their purchasing power.
“The pension is only enough to cover the equivalent of 13 days of basic work,” one woman receiving her late husband's pension told Iran International, describing monthly payments as far below the cost of supporting her family.
Other retirees also told Iran International that decades of contributions to the social security system have left them with pensions insufficient to meet basic expenses.
Several said that after 35 years of paying into the system, they now receive around 220 million rials ($117) a month, an amount they say does not even cover rent in many parts of the country.
The average monthly income in Iran is approximately $150 to $200, depending on fluctuations in the open market currency rate. This level of income falls far short of the cost of living, which requires around $385 to $400 per month to afford basic necessities like food and housing.
“Last year my husband's pension was 90 million rials ($48). This year it has increased by about 22% to 110 million rials ($58),” another woman supporting her two children told Iran International.
Many said they have turned to driving for ride-hailing services or other informal work after retirement to supplement their income.
Official data show year-on-year inflation for food and beverages has remained above 130% in recent months, placing further pressure on households already struggling with rising living costs.
Pension system under growing strain
The financial hardship described by pensioners reflects broader strains on Iran's retirement system, which has faced mounting funding shortages and growing concern over the sustainability of pension funds.
Mostafa Salari, head of the Social Security Organization, said on July 13 that the organization faces an 820 trillion rials ($436 million) funding gap to pay pension arrears for the first two months of the Iranian year and is also struggling to finance July payments.
The government has also moved to raise the retirement age as it seeks to ease pressure on the pension system, a step that has drawn criticism from labor advocates.
Economists have for years warned that demographic pressures, underfunding and broader economic problems have left Iran's pension funds increasingly vulnerable.
In 2022, Sajjad Padam, then director-general for social insurance at the Ministry of Labour and Social Welfare, warned that even selling three million barrels of oil a day without sanctions would not be enough to resolve Iran's pension crisis, underscoring the depth of the structural challenges facing the country's retirement system.
When the whistle blows for halftime at MetLife Stadium on Sunday, July 19, football's first-ever World Cup halftime show will begin – an 11-minute spectacle curated by Coldplay's Chris Martin, headlined by Madonna, Shakira, Justin Bieber, BTS and Burna Boy, with conductor Gustavo Dudamel and the PS22 Chorus.
And if the past week's frenzy in the Persian-speaking world is to be believed, somewhere in that lineup will stand Bijan Mortazavi, the Iranian violin virtuoso, with his famous white violin.
The story first surfaced through Persian-language music outlets, which reported that FIFA had selected Mortazavi for a live performance during the final's interval.
Skepticism followed almost immediately. FIFA's official announcements listed the marquee names but made no mention of the 68-year-old Iranian, and veteran music journalists would only call it the closest rumor to reality.
Then Mortazavi himself all but ended the debate. He posted a photograph alongside Chris Martin and Gustavo Dudamel, describing an "excellent and fruitful" first rehearsal with the New York Philharmonic, an image Coldplay fan accounts quickly carried around the world.
FIFA has yet to publish his name. But artists do not rehearse with the show's musical director and its conductor by accident, and reports say he will perform one of his instrumental works, with a solo passage on the white violin that has been his visual signature for three decades.
The news set Persian social media alight. Posts declaring "It's confirmed" drew hundreds of thousands of views within hours, and the pride quickly turned pointed.
Users contrasted an artist whose albums are still denied release permits inside Iran standing on the world's biggest stage, while the officials who ban his music watch from a country at war and in crisis. Others noted the bitter symmetry: Iran's team went home; Iran's music reached the final.
That symmetry stings because the national team's bond with its own public has frayed. After the side's elimination – three draws in three games – many Iranians described the failure less as a sporting loss than as a verdict on players seen as siding with the government during the nationwide protests, with defender Ramin Rezaeian's name recurring most often.
Unlike past tournaments, the matches drew few public gatherings inside Iran, and some openly welcomed the exit. When Shoja Khalilzadeh's late goal against Egypt was ruled offside by five centimeters, users linked it mockingly to his past pledge to dedicate goals to the Supreme Leader.
For millions of Iranians, representation has quietly migrated from the federation's badge to individuals in the diaspora, and Mortazavi embodies that shift.
Born in Sari in 1957, he began violin at three, trained in Tehran under masters including Parviz Yahaghi, and – in a fitting twist – played as a youth goalkeeper, part of Iran's junior national football setup, before music won out.
He left Iran after high school, studied in England, moved to the United States in 1979 and settled in California, where his blend of Persian melody and Western pop made him the best-known Iranian violinist in the world. In 1994 he became the first Iranian artist to headline Los Angeles' Greek Theatre.
He may not be the only Iranian at MetLife on Sunday. Alireza Faghani – born in Kashmar and the first man to referee at four men's World Cups – is widely reported as FIFA's leading candidate to take charge of the final itself.
Faghani left Iran for Australia in 2019, a move linked to his support for the protest movement, and now officiates under the Australian flag. State media in Tehran has attacked him – even censoring footage of him receiving his 2025 Club World Cup final medal – while many Iranians claim him proudly as their own.
No World Cup has ever had a halftime show. Shakira's "Waka Waka" in 2010, Ricky Martin's "La Copa de la Vida" in 1998 and Jung Kook's Qatar 2022 performance all belonged to the ceremonies, never to the final's interval.
Which means that if Mortazavi walks out on Sunday, he will not just be the first Iranian on a World Cup final stage. He will be part of the first such stage ever built.
If FIFA's final appointments hold, Sunday could end with an Iranian raising a violin at halftime and another raising the whistle for kickoff – two men who left, on the one stage the country's team could not reach.
Millions inside Iran will likely watch them the way they watch most things now: on any screen but state television's.
Alireza Arafi, head of Iran's seminaries, said officials should not continue "negotiations and the memorandum with the infidels" because of economic difficulties, fear of the costs of war or the prospect of infrastructure being targeted.
"Officials must not retreat from the legitimate rights of the Islamic nation under the pretext of economic problems, fear of the costs of war or strikes on infrastructure, and they must not continue the path of negotiations and the memorandum with the infidels any further," Arafi said in a statement.
Trump said on Tuesday that the United States would strike Iran's power plants and bridges next week unless Tehran returned to negotiations.
Arafi also said retaliation for the killing of former Supreme Leader Ali Khamenei was "certain" and would be pursued regardless of changes in government or officials.
He called on President Masoud Pezeshkian, members of the Supreme National Security Council, military commanders and diplomatic officials to treat the memorandum with the United States as finished and pursue what he called "the path of jihad and resistance."
Arafi, a hardline cleric and longtime Khamenei protégé, served on the interim leadership council formed after Khamenei's death. He is also a member of the Assembly of Experts and has been viewed within clerical circles as a possible contender for Iran's highest office.
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."
