According to information analyzed by the state-run Etemad newspaper regarding poverty rate data, a 10% increase in the poverty rate over two years translates to approximately 8 million more people falling into poverty in the country.
Etemad notes the likelihood of middle-class families falling below the poverty line has increased, and the capacity to finance budget resources has decreased among the middle-class population.
In its Tuesday edition, Etemad, in an article titled “Budget 2024: Incapable of Obliterating Poverty,” citing analysis from the regime’s Majlis (Parliament) Research Center on the budget’s capabilities to combat poverty, states that approximately 50% more people have been added to the poverty population since 2017.
Referring to the calculations of the Parliament Research Center, which estimated the absolute poverty line per capita in 2022 to be around 25.610 million rials (approximately $40), Etemad writes that based on inflation data from the past year, the estimated per capita poverty line for the first quarter of 2024 is around 37.40 million rials (approximately $58). The poverty line for a three-member household was estimated at around 56.34 million rials (approximately $87.5) for 2022 and 82.32 million rials (approximately $128) for 2023.
Etemad points out that middle-class individuals have had an average income of about 1.6 times the poverty line since 2018 and have approached the poverty line. It emphasizes the increasing likelihood of non-poor individuals falling below the poverty line, reducing the capacity to finance budget resources among the non-poor population.
In March 2024, the regime’s Eghtesad 24 website reported on the poverty situation in Iranian society, stating, “Almost one out of every three Iranians is below the poverty line, and when 30% of the population is below the poverty line, by March 21 (the beginning of the Iranian new year), this figure reaches 37 to 40 percent, because of high inflation and fixed wages.”
Etemad’s report, referring to the decreasing efficiency of government budgets to combat poverty, stated that what emerges from the image of poverty among Iranians in the 2010s is a decrease in the general welfare of society.
Etemad describes the established taxes in the country as undesirable and writes that the imposition of an undesirable tax can exacerbate poverty and increase the population of poor people in the country.
Another issue addressed in this report is the decrease in per capita public budget of the country. It notes that when the per capita public budget decreases, naturally, allocations for all budgetary matters decrease to some extent.
When the per capita general budget decreases in 2024 to the level of 2011, which has around 10 million more poor people than in 2011.
Based on statistics indicating that 30% of the country’s population has fallen below the poverty line and that the middle class has also significantly approached the poverty line, Etemad wrote: “After 2020, the budget had an expansionary approach relative to the population, so that ultimately, based on estimated data, it will reach the level of 2011 by 2024. The per capita public budget for each Iranian will be around 50 million rials (approximately $77.5) in 2024.”
However, in terms of policy-making for poverty reduction, while the per capita public budget in 2024 will reach the level of 2011, the population of those living in poverty in the country is approximately 10 million more than in 2011.
In recent years, under the inefficiency of the Iranian regime in managing the country’s economy, many reports have been published on the significant increase in poverty and the inappropriate economic situation of the people in Iran.
On April 7, Ham-Mihan newspaper, quoting trade union units, reported an increase in food theft from Iranian stores and stated that rising prices and increased hunger among the people are among the reasons for this.
On March 26, Tejarat News wrote in a report that teenagers and 20-year-olds are selling their kidneys, livers, and bone marrow to meet their financial needs.
