Iran Implements Rationing to Counter US Economic Sanctions

The Government of Iran is implementing a strategy of domestic self-sufficiency to counter new economic sanctions and infrastructure damage caused by United States and Israeli bombing. The strategy includes stockpiling gold and foreign currency and increasing domestic food production to a target of 90 percent to maintain the economy during an ongoing six-month war.

Despite these efforts, the country faces severe economic instability. The national currency has reached an all-time low, and food prices have risen by more than 128 percent. Infrastructure damage has resulted in daily power blackouts and fuel shortages in major cities, forcing the government to implement energy rationing and cut fuel quotas for private vehicles.

Iranian officials maintain that the state can survive the pressure. Economy Minister Ali Madanizadeh detailed a two-year plan to sustain the economy, while Central Bank Governor Abdolnasser Hemmati asserts that essential goods remain funded through cash stockpiles. However, the practical impact is evident in cities like Tehran, Mashhad, and Karaj, where citizens face lengthy queues at petrol stations.