Rouhani's First Quarter: The Economic Scorecard. Iran: Subsidy Reform amid Regional Turmoil. Milad Avazbeigi Journal Article March 3, 2011 Author: Djavad Salehi-Isfahani, Kuwait Foundation Visiting Scholar (Fall 2013), Middle East Initiative Belfer Center Programs or Projects: Dubai Initiative On a chilly day in February, while thousands of Iranians swarmed Tehran’s Eghelab Avenue in support of Iran’s Green Movement, a small but noisy crowd gathered just a few blocks north with a different motive.
On December 19, 2010, the government ended the decades-long subsidy program for bread and energy products like gasoline, and replaced it with direct payments of about $45 per month per individual. The recent subsidy reform is the single most important market reform program undertaken since the unification of the exchange rates under President Rafsanjani in the 1990s. Two features of the program have political salience, prices of bread and all energy products were increased to market levels in one shot, and at the same time money was transferred back to people’s bank accounts. Salehi-Isfahani_DI-Working-Paper-3_Iran-Youth-Crisis.
Managing Oil Resources and Economic Diversification in Iran - SOAS Research Online. Iran.