International sanctions, together with the failed economic policies of the Iranian government, are being felt in Iran.
The Research Center of the Iranian Majlis (parliament) has announced that inflation rose by 22.4% during the Iranian calendar year which ended March 31. This figure is much higher than the 13.5% announced by the Central Bank.
The center projects an inflation rate of 24% for the current Iranian calendar year.
Fruit prices have risen 21.6% during one week. Consumer goods increase in price daily, and there will no doubt be broad political fallout from the anticipated May 21 price rise for gasoline, and perhaps rationing.
The inflation has impacted the middle and lower classes. University professors who earn $200-300 a month have been demonstrating for months seeking relief.
Most foreign newspapers are mentioning the political tremors that are beginning to emerge on the surface.
The implications for the regime are difficult to assess at this stage but are likely to be severe.
Sources: Al-Hayat, Al-Sharq Al-Awsat, London; Sotaliraq, April 20, 2007
