Economist: Price jumps in Tehran are greater than in any other major city in the world
The Economist magazine writes in its new annual report that, when calculating price increases based on US dollars, Tehran has had the largest increase in inflation among all major cities in the world over the past year.
In a report prepared annually by the Economist Intelligence Unit, the prices of 138 goods and services in 130 major cities around the world are compared and the most expensive and cheapest cities in the world are introduced.
According to the new report, Tehran, which was the 106th most expensive city in the world for residents in US dollars last year, has jumped 30 places this year to 79th, indicating a sharp increase in the cost of living in the Iranian capital for people earning in rials.
The Economist writes that no other major city in the world has experienced such a large increase in prices over the past year. The publication cites US sanctions against Iran as a factor in this trend.
Reports are published every day about the rising cost of living in Iran and its consequences, and among them, the Majlis Research Center announced in a recent report on inflation in Iran that red meat consumption among the middle class in 2019 decreased by more than 30 percent compared to 2016.
Iranian President Hassan Rouhani recently admitted that food and goods are expensive in Iran, and attributed it to the US's "economic war" against Iran. However, critics believe that government mismanagement is one of the main causes of this situation.
On November 4, Ayatollah Ali Khamenei, the leader of the Islamic Republic, also referred to price increases during a speech, saying that in his opinion, "these price increases... from red meat and chicken to baby diapers are unjustified. With coordinated management of the institutions, these problems can be solved."
In the new global ranking by The Economist magazine, Hong Kong, Zurich, and Paris have been named as the most expensive cities in the world in 2020.
The report notes that although Tehran has climbed 30 steps on the world's most expensive ladder, prices in the city are still much lower than the three most expensive cities in the world, namely Hong Kong, Zurich, and Paris.
According to The Economist, the cost of living in cities in the Americas, Africa, and Eastern Europe has become cheaper since last year, while cities in Western Europe have become more expensive.
According to the report, this partly reflects the appreciation of European currencies against the US dollar.
The largest price declines have occurred in Rio de Janeiro and São Paulo (both in Brazil), reflecting weakening currencies and rising poverty levels.
Source: Radio Farda
