Hojjat Abdolmaleki, former labour minister: the economy has no problem except high prices and inflation

Hojjat Abdolmaleki, labour minister in Ebrahim Raisi's government and a professor of economics, said in an interview with state television that the only issue facing Iran's economy is high prices and inflation, and that the country has no other problem. A video of his remarks circulated on social media over the past two days and met with a wave of criticism and mockery, at a time when inflation in Iran has reached one of its highest levels in decades.

Abdolmaleki had earlier said, in Mordad (July–August), that not even one percent of the rise in prices was related to the war and the regional situation. He also dismissed the effect of the international internet shutdown on the economy, saying that nobody had lost their job because of it and that online sellers could move to domestic platforms.

89 percent inflation and soaring prices of basic goods

According to data from the Statistical Centre, the Islamic Republic's official statistics body, point-to-point inflation rose by 0.8 percentage points last month to reach 89.8 percent. Annual inflation also increased from 69.9 percent in Mordad (July–August) to 73.6 percent in Shahrivar (August–September). Inflation for food and beverages has been far above the average, and the price of cooking oil has risen by more than 250 percent in a year.

These figures sit alongside other reports on people's daily lives: in recent days DIAR reported on electricity bills for homes and shops rising several times over and on the 500,000-toman increase in the food coupon (kalabarg), which does not even buy a kilo of meat.

Reactions to Abdolmaleki's remarks

Ruhollah Jami, a principlist political activist, mocked Abdolmaleki on X over his claim that sidelining the "delusional super-revolutionaries" would solve political problems. Journalist Mohammad Parsi wrote sarcastically that if there is no internet, there is no filtering problem either, and reminded readers that the person saying this was himself a minister. A number of social media users also asked how a country with such figures in decision-making positions can improve.

Abdolmaleki's remarks are another example of the gap between the account given by the Islamic Republic's officials and the economic reality citizens face every day; an economy that has grown smaller and poorer under the weight of war, sanctions, zero oil exports and the fall of the rial.

The Islamic Republic's former labour minister called high prices and inflation the economy's only problem; point-to-point inflation has reached 89.8 percent.