-
Economic bankruptcy and extreme poverty of Iranians, achievements of the religious dictatorship of the Mullahs.

In the 42 years that have followed, Iran's population has grown to more than 85 million. At that time, in 1979, due to incompetence and corruption of the monarchy, there were no reliable statistics on poverty in Iran, but according to a research article by Javad Salehi Esfahani, an Iranian economist at Virginia Tech University, titled "Revolution and Wealth Distribution in Iran" which had been published on the World Bank website: In 1977, two years before the revolution, 48% of Iranians were living in poor rural areas, and 28% of the city dwellers also lived below the poverty line. In other words, about one-third of Iranians lived below the poverty line.
Forty-some years after the revolution, according to Shahab Naderi, a member of the Economic Commission of the Iranian Parliament, 80% of Iran's population lives below the poverty line.
In 1979, the Iranian per capita GDP was $10,000, while in 2019, the per capita GDP was less than $7,000.
But on Nov. 2, 2019, at the inauguration of a development project to mark the 40th anniversary of the revolution, Mohammad Ali Jafari, ex-commander of the Revolutionary Guard Corps, declared this: "Before the revolution, 46% of the population lived below the poverty line." He adds: "in 2016, only about 10% of the people live below the poverty line." He then concludes that "such a huge drop is the direct result of the Islamic revolution and a pride for the country."
What it shows is that the regime in Tehran is a master at demagoguery and deception.
The statistics offered by Jafari could not be found on any reputable website. They were absolutely baseless lies.
According to research, in the first decade of 2000, many Iranian heads of families, despite having jobs, could not provide the minimum living needs for their families, and the problem of child malnutrition, associated with adult poverty, was one of the immediate effects of such a substandard lifestyle in Iran.
According to the ILNA news agency in a report dated Oct. 20, 2021, more than 95% of the Iranian labor community currently do not have job security and experience a life full of pressure and stress. The Iranian workers are at the bottom of the pyramid regarding their inadequate income and high cost of living.
According to Tasnim News Agency in a report dated Dec. 30, 2020: "...their food basket (expenses have) increased by about 200% in the period of 9 months before this date. Their housing costs have increased five times in a period of 2 years. With these conditions, the 14,494,000 officially insured workers, who number more than 49 million with their families and make up about 58 percent of the population, are just trying to survive, not live."
The severity of poverty in Iran has reached such a level that there are many people with disabilities who have been forced to sell their wheelchairs to survive!
Another sign of poverty is the presence of too many beggars in cities, who have become an "increasing problem" for society due to their large numbers.

Another product of such a broken economy is the presence of working children in every city throughout Iran. The exact number of working children is not known, but it is estimated to be 3 million, who instead of going to school and studying are wandering in the streets of big cities, engaged in peddling or looking through garbage bins, collecting recyclable items so that they can provide food for their families.
According to Mohammad Reza Mahboobfar, a member of the Land Management Association of Iran, in 2017, about 40% of the urban population of Iran were living on the outskirts in substandard situations. After three years in 2020, along with inflation, skyrocketing prices in the housing sector, rent hikes, etc., the population living in the shantytowns has reached 45%.
If we calculate this 45% of 85 million people in Iran, it means more than 38 million Iranians have been forced to move and live in slums on the outskirts of cities and lack the necessary living facilities such as running water and electricity, sewage system, school, hospital and park and playground for children, etc.
However, with these circumstances, the Iranian regime has not stopped its nuclear and missile programs and the expansionist policies of meddling in other countries! According to Falahatpisheh, a member of parliament's National Security and Foreign Policy Committee, in the last decade, Iran has spent more than $30 billion just to support the Syrian dictator Bashar al-Assad. To this figure, we should add the payout to its proxy groups such as Hezbollah in Lebanon, the Houthis in Yemen, Hamas in Palestine, and various groups in Iraq, which amount to millions of dollars each month.
On the other hand, due to the institutionalized corruption in Iran's governmental organizations and IRGC, and astronomical thefts and embezzlement have earned Iran number 1 rank in the number of millionaires in the Middle East. The children of these people, who are all affiliated with the regime officials, live in aristocracy in Iran, Canada, the United States, and European countries.
With such class divide and widespread poverty and discontent pervading more than 90% of society, it can be expected that Iran will soon witness a scene of unrest and uprisings comparable to those that we saw in November 2019. The difference is that this time Khamenei will not be able to suppress them easily, because the people have nothing to lose and they are determined to change the regime in Iran.
by: Cyrus Yaqubi
Cyrus Yaqubi is a Research Analyst and Iranian Foreign Affairs Commentator investigating the social issues and economy of the Middle East countries in general and Iran in particular.
You May Also Like
Popular Posts
Caricature
BENEFIT AGM approves 10%...
- March 27, 2025
BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).
Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.
opinion
Report
ads
Newsletter
Subscribe to our mailing list to get the new updates!