Corona in Iran; Three Million Daily Wage Workers Receive Unconditional Subsidies

The Iranian government has promised to pay 200,000 to 600,000 tomans in cash aid to street vendors and seasonal workers. Four million vulnerable households are set to receive one to two million tomans in low-interest loans, and some businesses will receive banking facilities.

The spread of coronavirus in Iran and business market stagnation have affected the lives and livelihoods of millions of people. Those who have been hit the hardest are those who have no employment, no insurance, and whose income and expenses are daily. Hassan Rouhani announced on Sunday, March 16 (25 Esfand) that the government has allocated unconditional subsidies for three million seasonal workers, street vendors, and daily wage earners, with the first payment to be made on Tuesday.

According to the announcement by the head of the Planning and Budget Organization, single-person households will receive 200,000 tomans, two-person households 300,000 tomans, three-person households 400,000 tomans, four-person households 500,000 tomans, and households of five or more members will receive 600,000 tomans.

The government is also scheduled to deposit one to two million tomans into the subsidy cards of seasonal workers and will collect the debt in installments three months later. For businesses related to tourism, catering halls, and restaurants, tax and insurance facilities have been provided. Meanwhile, the head of the Central Bank has given three months’ grace period for debt settlement to ten businesses affected by coronavirus and said that low-interest loans will be paid to four million people.

Food production and distribution centers, including restaurants, buffets, catering halls, coffeehouses, grocery stores, tourism-related centers including hotels, apartment hotels, tourism complexes and resorts, guest houses, inns, hotels, eco-tourism centers, residential and catering and recreational and service centers along the way, public passenger transportation within cities and between cities, travel and tourism service offices, and clothing production and distribution have been given extensions to pay their installments and debts later.

Workers in leather and shoe production and distribution, dried fruit, dried goods, confectionery, ice cream and juice distribution centers, sports and recreational centers and complexes, cultural and educational centers and complexes, and handicraft production, distribution and sales centers are also on this list.

Ten days earlier, 537 Iranian academics had asked Rouhani to consider special subsidies and welfare packages for vulnerable groups in light of the coronavirus outbreak and the inability of low-income and destitute families. Parvaneh Mafi, a parliamentary representative and head of the family faction, had previously said: “I personally have numerous cases including female heads of households or men who are daily wage earners. They say we can accept staying home, but who will provide us with food and meet our daily expenses?”

With the government cabinet’s decision, people are to have a three-month grace period for paying water, electricity, gas bills, and municipal fees. At the same time, people have been asked to use banks less, and on this basis, the limit for each ATM withdrawal has been increased to 500,000 tomans. The minimum threshold for card-to-card transfers, which was previously three million tomans, has also been raised to ten million tomans.

Abdolnasser Hemmati, the head of the Central Bank of Iran, says: “Bank system employees are in difficult conditions, some have died and some have been quarantined, so if people don’t have essential work, they should not visit branches.”

The cabinet has not made a decision on returned checks, but banking restrictions for check holders have been lifted for three months. With market stagnation during the coronavirus outbreak, the accounts of many businesses have been emptied and many checks are uncollectible.

The government’s economic measures have been announced while Hassan Rouhani, rejecting the quarantine of certain businesses, has emphasized that everyone is free in their business and activities during Eid days or other days. He said that provinces, governors, and health sectors have no right whatsoever to make decisions in this regard, and the body responsible for deciding on the closure of specific jobs and businesses is the National Coronavirus Management Headquarters.

Source: DW