Iran’s Economy in Crisis as Inflation Hits 40%, Millions Live in Poverty

Iran’s economy faces severe crisis with 40% inflation and millions living in poverty.

Impact of U.S. Sanctions

The return of American sanctions in 2018 cut Iran off from the global banking system and limited oil exports.

Additional Economic Pressures

The situation was worsened by the costs of the war with Israel in June 2025 and American attacks on Iranian nuclear facilities.

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