War, US Sanctions Deepen Iran's Economic Crisis
Iranian leaders acknowledge the growing economic impact of the war with the United States. President Masoud Pezeshkian said that US sanctions and the naval blockade have reduced Iranian exports and imports by nearly 35%.
Annual inflation reached 66% last month. Supreme Leader Ayatollah Mojtaba Khamenei has therefore called on the government to address rising prices, unemployment and other problems facing the population. Tehran aims to curb inflation, support domestic production, create jobs and gradually reduce its dependence on the dollar.
Six months after the war between Iran and Israel began, the United States is stepping up financial pressure on Tehran. Washington has warned other countries against trading with Iran and has imposed new sanctions, but has avoided penalizing Iran's major trading partners, such as China and India.
Tehran, however, refuses to back down. It intends to continue with both diplomacy and defense and claims to maintain control over the Strait of Hormuz. Meanwhile, Qatar is working to support the resumption of negotiations and a return to free shipping through the strategic maritime route.
(Reuters, bak)