Iran’s economy has experienced a decline in household purchasing power in recent years. Official data and independent reports show the broad scale of this pressure. Rising food prices, reduced consumption of essential goods, and declining demographic indicators present a troubling picture of living conditions. Reviews of multiple sources indicate that poverty is no longer limited to household income. It has also affected consumption patterns, health, marriage, and childbearing.
Poverty in the inflation figures: which number is correct?
One of the main livelihood crises is inflation, with year-over-year inflation approaching 88%. This figure is consistent with data published by the Statistical Center of Iran for July. According to these figures, year-over-year inflation reached 87.9% in July.
Economic Crisis: The Real Face of a Regime That Portrays Itself as Powerful
The pressure on food prices has also been severe. Reuters reported in August that overall inflation had reached 66% and food prices had risen by about 128%. Official June figures also showed sharp increases in food prices. Bread and cereals were up 138.8%, while milk, cheese, and eggs had increased by 151.9%.
How has poverty reached the family table?
Reduced food consumption is one of the clearest signs of poverty and declining purchasing power. A report on Iran’s dairy market says per capita dairy consumption has fallen from about 130 kilograms in 2010 to about 40 kilograms this year. This represents a decline of nearly 70%.
The same report, citing data from the Food and Agriculture Organization (FAO), says Iran’s red meat supply reached about 623,000 tons last year. That was about 20% lower than in 2024. Meat supply has also declined by nearly 39% compared with 2010.
The result of this trend could be poorer nutrition and greater pressure on low-income households. It expands poverty from an income issue into a broader quality-of-life issue.
Poverty and the decline of demographic indicators
Economic pressure has continued alongside significant demographic changes. According to figures for the year ending in March 2026, the number of births fell to about 892,000. This has been reported as the lowest annual birth total in seven decades.
The fertility rate has also fallen to 1.35 children per woman. This is well below the replacement level of about 2.1 children. Published figures also show that the number of marriages has declined from 470,000 to about 432,000.
These figures alone do not prove the cause of declining marriage and childbearing. However, economic and social reports identify housing costs, employment, and living expenses as factors influencing family decisions. The connection between poverty and the demographic crisis is therefore an issue that cannot be ignored.
Oil: from declining exports to the announcement of a complete halt
Another part of the report on inflation, rising prices, poverty, and difficult living conditions concerns oil exports. Abdolnasser Hemmati, governor of the Central Bank of Iran’s regime, said in a televised interview on August 19, 2026, “Iran’s oil exports have reached zero.” He said the country is not exporting oil under current conditions.
However, the data on Iran’s oil is more complex. Reuters reported that Iran’s shipments to China in August 2026 had fallen to about 534,000 barrels per day. Average exports in 2025 were about 1.4 million barrels per day.
A distinction must therefore be made between “current exports through observable routes,” “stored cargoes,” and “accessible oil revenue.” Hemmati’s statement confirms a halt in oil exports under current conditions. Oil tanker tracking data also points to a sharp decline in Iran’s oil flow to China. As a result, the broader crisis in oil revenues is supported by the available evidence.
Society facing the erosion of purchasing power
Taken together, the data points to a common trend. High inflation, lower food consumption, declining marriages, and falling birth rates have occurred simultaneously. These indicators show that poverty in Iran is not simply a matter of lower income. It has reached the family table, household decisions, and people’s outlook for the future.
What is most concerning is the continuation of these trends. A society facing severe price increases, reduced consumption of essential goods, and declining demographic indicators at the same time is experiencing a gradual erosion of its economic and social capacity. The available statistics portray a society paying the cost of the economic crisis in everyday life.
