Inflation and petrol sanctions, time to talk prices again

Wednesday, March 10th, 2010

This week parliament passed the President’s budget which included cutting the state’s generous subsidies for food and energy, subsidies that have long kept the price of a litre of petrol at ten cents for limited amounts. This budget is trying to balance the books, but commentators are saying it could send Iran’s inflation rate up to 30%. This will hurt all wage earners, especially those who work for the massive state sector, because their salaries cannot keep up with inflation. Add to this the shortage of gasoline due to the Iran’s lack of refineries and the US’s keenness to put sanctions on imported petrol, and there could be very steep rises at the pumps. During the 1980’s when Iran experienced galloping inflation everyone talked prices, especially food. It looks as if it will be time to talk prices again, as expensive petrol impacts the whole retail trade. .Christians too will be hit by this inflation and will need to be ready to sacrifice more to get around.

Pray for

  • Wisdom for officials responsible for Iran’s finances
  • Safety nets for the vulnerable
  • Christians to look to God to supply their needs, whatever the price of petrol.