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What Really Caused the Iranian Economic Crisis?

TEHRAN – Iranian President Hassan Rouhani blames United States as he warns the country of the most difficult economic situation of the last 40 years, The Week reported Thursday.
EU, China and Russia bypass US sanctions to preserve Iran deal
“Today, our problems are mainly due to pressure from America and its supporters, the conscientious government and the Islamic system must not be blamed,” said President Hassan Rouhani.
Last year, Donald Trump escaped the controversy of the multilateral agreement signed by his predecessor, which called for the lifting of international sanctions in exchange for restrictions on Iran’s nuclear program.
Since then, the United States has re-imposed economic and oil sanctions, stifling any fiscal recovery.
This decision “caused a record drop in the Iranian currency, caused an exodus of foreign companies, plunged the country into a recession and renewed its economic isolation,” said the Times of Israel.
“Workers, including truck drivers, farmers and traders, have since organized sporadic protests against economic hardships, which have sometimes led to clashes with security forces,” reports Reuters.
The Middle East Monitor, however, said the US sanctions had only exacerbated “years of mismanagement” in the economy.
“Real incomes have fallen, with inflation reaching over 35%, compared with less than 10% a year ago. Last month, the government reintroduced subsidies for staple food to ease the pressure on families, but with the rising cost of imported products, the government deficit has also widened.”
Continued spending on foreign proxy wars in the Middle East provoked anger, while protesters also personally targeted Rouhani after credibility of his political credibility on the agreement with the United States, a well-known country.
To appease the hard-core of the government, Rouhani, a moderate, has adopted a more bellicose tone against the United States in recent months, ironically speaking in the story of the White House of an Iran more and more aggressive.
The EU, China and Russia have denounced Trump’s decision to re-impose a sanction, but “there are signs that the European powers are gravitating towards the US position as well,” the Times of Israel said.
“Iran’s recent work on launching satellites into space has been criticized by the West, saying it would be possible to advance its missile program because the rockets used in both programs rely on a very similar technology to get around the penalties,” the newspaper said.
(Sahar News Monitoring Desk)

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