Economics & Global Affairs

17 Items

Iran Tehran Bazaar

Wikicommons

Analysis & Opinions - Foreign Affairs

Yes, Iran’s Economy Is Suffering—But It’s Not All About the U.S.

| Sep. 25, 2018

Although U.S. President Donald Trump has hurt the Iranian economy, the unexpected depth of the rial’s decline owes less to U.S. policy than to poor decision-making in Tehran and structural weaknesses in Iran’s economy. A proper understanding of the factors that deepened the crisis suggests that the country’s acute hardships may ease or disappear as Iran adjusts to the new situation. Iran’s foreign exchange market needs to be understood on its own terms in order to avoid the common mistake of equating the fall of the rial in the free market with economic collapse, rising poverty, and increasing protests that can weaken the regime.

Iran Currency

AP Photo/Vahid Salemi

Blog Post - Iran Matters

Is Iran's Economy Collapsing?

    Author:
  • Arash Pourebrahimi
| Aug. 07, 2018

Iran’s economy is having difficulties for sure but is far from “collapsing”. While the Iranian rial has lost more than 50 percent of its value against the US dollar in the unofficial market since January 2018, this is nothing new for Iran’s economy. Every president since the end of Iran-Iraq war had to deal with a sort of analogous currency crisis.

Tehran Vali Asr

Tasnim News

Analysis & Opinions - Project Syndicate

How Iran Will Respond to New Sanctions

| May 02, 2018

Even before US President Donald Trump began threatening to re-impose sanctions on Iran, foreign investors looking to do business there were wary. Iranian President Hassan Rouhani failed to get his pro-market agenda off the ground, and now international political developments are playing into Iranian hardliners' hands.

Central Bank of Iran

Tasnim News

Analysis & Opinions

Did Bad Economic Conditions Cause Iran’s protests?

| Mar. 01, 2018

Like other Iranian president before him, President Hassan Rouhani is having a bad second term. Only six months after his decisive re-election, protesters were in streets shouting “Death to Rouhani.” Then came a sharp fall in the value of the rial, by 10% in two weeks, which threatens to undo the principal economic achievement of his first term—lowering inflation—and his plans to lower interest rates. Iran’s Central Bank had to increase interest rates last month to stop the fall of the rial. These are precarious times for Rouhani, who has won two elections promising economic revival.

Iran US America Flag

Wikimedia

Analysis & Opinions - The National Interest

Recognizing the Limitations of American Influence in Iran

| Feb. 14, 2018

It is time for a reality check: despite claims to the contrary by Iran’s supreme leader, the United States is not the central actor in the drama that recently unfolded in Iran, nor was it the central actor in Egypt back in 2011. The mass protests that forced the Egyptian dictator from power were driven by the Egyptian public’s growing disenchantment with decades of political, economic and social mismanagement by a succession of military rulers. Contemporary observers noted with surprise the absence of references to the United States or other foreign-policy considerations during the protests. The demonstrators’ recurrent chant—“bread, freedom, social justice and human dignity”—encapsulated the domestic motivations behind the public’s mobilization.

Rouhani

Tasnim News

Blog Post - Iran Matters

A Wake-up Call to Rouhani

    Author:
  • Masoud Movahed
| Jan. 17, 2018

The recent protests in Iran are surely a wakeup call for President Rouhani. To respond the legitimate grievances of low-income Iranian households, the Rouhani government should do its best to further diversify the Iranian economy and to bolster its manufacturing and industrial sectors. The Rouhani government should also promote the export of non-oil products, following the models of countries such as South Korea, Taiwan, and recently, the Chinese leviathan. Labor-intensive industries as well as service sectors like information technology, ought to be solidified. Rouhani should call upon state-directed industrial committees and agencies to provide Iranian entrepreneurs and manufacturers with fiscal resources, and he should foster financial support and protection for firms that place emphasis on exporting goods abroad.

Rouhani reelection rally

President.ir

Blog Post - Iran Matters

The Significance of Hassan Rouhani’s Reelection as President of Iran

    Author:
  • Ephraim Kam
| June 06, 2017

What can we expect from Rouhani’s second term? The large majority with which he won does not change the basic fact that the number one decision-maker in Iran remains Supreme Leader Khamenei. Ephraim Kam writes to Iran Matters that it is doubtful that Rouhani’s large majority will translate into greater power vis-à-vis Khamenei and the regime’s radical wing, as the president will likely continue to depend on them.

iranians shopping in bazaar

AP

Analysis & Opinions

Economic challenges loom in Rohani’s second term

| May 28, 2017

Despite its flaws, the May 19 presidential election offered Iranian voters a real choice between the moderate incumbent President Hassan Rohani and a hard-line rival, Ayatollah Ebrahim Raeisi. Djavad Salehi-Isfahani writes to The Arab Weekly that Rohani’s decisive win with 57% of the vote, combined with a sweep by reformist candidates in the city council elections in Tehran and several other major cities, gives him a strong mandate to move for­ward with his program of eco­nomic reform.

ibrahim raisi

AP

Analysis & Opinions - The National Interest

How Iran's Hard-Liners Are Challenging Rouhani (From the Left)

| May 18, 2017

Although Rouhani has an incumbent’s advantage, his promised economic revival is seen by many as having fallen short of his stated goals, and he has been the target of unceasing and strong allegations of corruption. Despite the fact that every Iranian president in the post-Khomeini period has served two terms, why is Rouhani in a precarious position? And what are the factors that anti-Rouhani forces are trying to use to their advantage? In an article to The National Interest, Payam Mohseni, Director of the Belfer Center's Iran Project, shows that recalling the lessons of the 2005 election, which brought Mahmoud Ahmadinejad to power, serves as a useful model in understanding this year’s contest and the challenges Rouhani faces in maintaining power.