Iran’s vice-president calls for economic aid from private sector

ERBIL, Kurdistan Region – Eshaq Jahangiri, Iran’s vice president, has urged the private sector to come to the aid of Iranians struggling during the COVID-19 crisis, according to state-media outlet IRNA.

Speaking at a ceremony for the Iranian Red Crescent Society (IRCS), Jahangiri said the wealthy should play a greater role in assisting struggling communities during the crisis.

“I call on the people and benefactors and those who have the appropriate financial means to come to the scene, and with the help of aid organizations such as the Red Crescent Society in terms of all moral and human issues, to help the poor,” he said. 

Iran’s economy and labor market were already squeezed by US sanctions when the COVID-19 outbreak struck.

Like many countries around the world, Iran has responded to the economic slowdown with stimulus packages backed up by massive public spending. 

Supreme leader Ayatollah Ali Khamenei has given President Hassan Rouhani the green light to withdraw $1.1 billion from Iran’s National Development Fund – an emergency reserve funded by oil revenues.

Although permission was granted on April 6, the administration is yet to announce how it will spend the money.

The government has announced a series of measures to contain the virus and alleviate economic pressure, including the provision of welfare packages to three million low-income households and $5 billion in low-interest loans to struggling businesses.

Ali Rabiei, the government spokesman, said 7.3 million jobs had been adversely affected by the outbreak. 

Without saying how many jobs had been lost, Rabiei told the state-owned ISNA outlet on Saturday that 3.3 million official employees and 4 million unofficial employees are subject to “suspension or reduction of wages” as well as full dismissal.

Karim Hemmati, president of the Iranian Red Crescent Society (IRCS), said the organization intends to help two million unemployed people, according to Radio Farda.

In recent days, President Rouhani has been accused of prioritizing the economy over public health after allowing the reopening of small businesses on Saturday, despite the virus continuing to wreak havoc on the country.

Iran has recorded 111 deaths and 1,670 new COVID-19 cases in the last 24 hours, the country’s health ministry said Monday.

The country now has now recorded 73,303 cases, and 4,585 deaths, and more than 45,000 recoveries.