Iran is facing mounting economic pressure as inflation reaches levels not seen since World War II, underscoring growing hardship for households across the country.
Axar.az reports, citing AP, the consumer price index rose by 77.2% in May compared with a year earlier, marking a sharp increase from April.
The Central Bank of Iran reported that prices for essential goods and services — including medicine, transport, tobacco, and communications — surged by 113.8% year-on-year.
A private Iranian economic think tank, the Bamdad Institute of Economic Studies, described the figures as “an unprecedented rate since World War II,” referring to the 1942 wartime inflation period, when supply disruptions and famine contributed to severe economic instability.
The country’s currency has also continued to weaken significantly. The Iranian rial, which traded at roughly 32,000 to the U.S. dollar in 2015, is now valued at more than 1.7 million to the dollar, according to market estimates.
Economists warn that persistent inflation could deepen public frustration. Tehran-based analyst Saeed Leilaz said annual inflation could approach 80%, adding that “Iran’s society cannot tolerate above 25%” sustained inflation.
President Masoud Pezeshkian has acknowledged the economic strain, stating in May, “We will definitely have higher prices. We are fighting, and we must accept this hardship.”
Analysts say continued economic pressure, combined with sanctions and disruptions to oil revenues, could further strain Iran’s fiscal stability in the months ahead.