Last updated: 13/3/2024

Basic Information

Country
Geographic area
Institutions and agencies involved

Programme Details

Programme objectives

To assist Iranian households with the prices of basic services and goods.

Note: Iran has been undergoing reforms for the past years that aim at replacing subsidies with direct cash assistance for poor households. To see more, see the "Targeted Subsidies Reform Act"

References
IMF. 2014. Islamic Republic of Iran—Selected Issues. Washington, DC: International Monetary Fund. Accessed 13 March 2024. Available at: <https://www.imf.org/external/pubs/ft/scr/2014/cr1494.pdf>. Iran International. 2022. Iran Eliminates Subsidy For Food And Medicine Amid High Inflation. Accessed 13 March 2024. Available at: <https://www.iranintl.com/en/202203074934>
Programme components
Subsidies covered major petroleum products and natural gas, as well as electricity, water, bread, wheat, rice, cooking oil, milk, sugar, postal services and air and rail transportation services. Social Welfare Organization and Imam Khomeini Relief Committee (IKRC) beneficiaries exempt from paying service (Electricity, water and gas) bills if they meet some conditions.
References
IMF. 2014. Islamic Republic of Iran—Selected Issues. Washington, DC: International Monetary Fund. Accessed 13 March 2024. Available at: <https://www.imf.org/external/pubs/ft/scr/2014/cr1494.pdf>. World Bank. 2017. “The World Bank in Islamic Republic of Iran.” World Bank website. Accessed 13 March 2024. Available at: <http://www.worldbank.org/en/country/iran/overview>.
Start date
 
Coverage
Universal coverage for subsidies for bread, fuel, gas and medicine. As of 2022, beneficiaries from the Imam Khomeini Relief Committee amount to 875.000 households for gas bill exemptions, and 105.000 households for the water bill exemptions.

Targeting and eligiblity

Target groups
Universal

Coverage and other information

Type of benefits
Subsidised prices
Amount of benefits
For IKRC Electricity consumption : 50% amount of defined consumption reform; Water consumption: one third of the defined consumption reform; Gas consumption: in the first three stages of defined plan (out of 12 stages)