The policy of granting costly subsidies to help improve the quality of life of the people have apparently failed, and experts say the rich have benefitted much more than those at the middle and lower end of the economic ladder.
The government pays close to 2,500 trillion rials ($16.5 billion) annually in hidden subsidies to Iranian households. The average hidden subsidy for the highest income deciles is seven times higher than the lowest income deciles.
According to ISNA, Iranian households on average receive 100 million rials ($666) in direct subsidy every year. In terms of deciles, each family in the tenth (highest) decile on average gets 210 million rials ($1,400) in hidden subsidies while the amount for the first decile (lowest) is 30 million rials, a gross injustice in wealth distribution.
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