Iran's Gasoline Price Hike Amid Economic Strain and Sanctions

Iran is set to increase gasoline prices for users consuming over 110 litres monthly, starting Tuesday. The decision, aimed at addressing issues from the war and U.S. sanctions, follows previous price hikes and concerns over potential protests. The first two quotas remain unchanged, while the third sees a price increase.

In a bid to tackle economic challenges exacerbated by war and U.S. sanctions, Iran will increase gasoline prices for consumers exceeding 110 litres per month, effective Tuesday. The announcement, made by government spokesperson Fatemeh Mohajerani, revealed that while two initial quotas remain steady, the third will see a price surge.

The concern over potential unrest echoes past protests in 2019 when a similar price adjustment incited widespread demonstrations. Despite being among the world's lowest, Iran's gasoline price shift reflects the current economic strain and aims to curb excessive consumption.

Mohajerani noted that lower-tiered quotas of up to 110 litres will still be available at unchanged rates of 15,000 and 30,000 rials per litre. The decision follows December's partial price increase and forms part of a broader strategy by the OPEC nation to manage growing fuel demand.