I wrote an opinion piece on President Hassan Rouhani’s struggles with Iran’s precarious economy and its rampant corruption for The Majalla. The piece argues that despite real efforts to tackle its problems, Iran’s economy continues to be the biggest challenge for the new administration.
Despite real efforts to tackle its problems, Iran’s flagging economy continues to be the biggest challenge for President Hassan Rouhani’s government. During his 2013 presidential campaign he promised to resolve the country’s numerous financial issues, but seems to have underestimated the enormity of the task. Today, widespread and systemic corruption continues to plague the country’s financial sector, and a volatile currency exchange market threatens mid- to long-term investments.
Rouhani’s government of “prudence and hope” is fast approaching its one-year anniversary, but many of the economic campaign promises remain unfulfilled. During the June 2013 campaign, Rouhani pledged to focus on fundamental and institutional issues—a message applauded by the electorate. His aim was to reintroduce rational economic policy by welcoming back experts sidelined during the tenure of Mahmoud Ahmadinejad, the president’s conservative–populist predecessor. Other ambitious promises included the reduction and, eventually, removal of international sanctions, more effective distribution of cash handouts, better liquidity controls, a reduction of inflation, curbing the currency’s volatility, and fighting corruption. Read more…