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Iran introduces tiered gasoline pricing to cut $52B in subsidies, amid economic crisis and protests.
Iran has implemented a new three-tier gasoline pricing system, its first major change since 2019, introducing tiered rates of 1.25, 2.5, and 4 U.S. cents per liter for monthly usage up to 160 liters, aiming to reduce massive energy subsidies estimated at $52 billion in 2022.
The move, driven by economic strain from sanctions and a collapsing rial, seeks to curb waste amid high demand from a 25-million-vehicle fleet and millions of informal drivers.
While prices remain among the lowest globally, the shift marks a cautious step toward fiscal sustainability, with officials possibly reviewing rates every three months.
The reform follows past protests over fuel costs and comes amid rising inflation and political tensions, including the arrest of human rights activist Narges Mohammadi.
Irán introduce precios escalonados de la gasolina para recortar $ 52B en subsidios, en medio de la crisis económica y las protestas.