The current Iranian economy was different from 1979 - the time of the Islamic Revolution here. At the time, a US dollar only traded 70 gla Iran. But by the early 2026, this number had been a US$4.4 million rial, DW said.
Iran is facing one of the worst economic crises - the worst society in the last decade, with the GDP growth nearly zero, inflation skyrocketing and political unrest - social escalation. According to the estimate of the International Money Fund (IMF) back in the year 1/2026, Iran's real GDP only increased 0.3% in 2025, falling heavily over the previous years (3,7% of 2024 and 5,3% of 2023).
In the meantime, the Iranian Statistics Agency said the inflation of January was up to 60%. The speed was of the highest group in the world, when the rial coppers lost 56% in just half a year. The rapid decline of the rial has sparked the protests of Iranian traders December 2025.
"One of the most important economic indicators for the people is the price. The people follow the US$1 as closely as rial. As unrest increased, they needed to store as much strong foreign as US$, or buy gold", Iranian-American economist Nader Habibi said on *Al Jazeera.
According to Habibi, the lack of foreign supply occurred after the Israeli attack last June. Besides, the government also needs resources to re-establish and maintain defense after 12 days of war. These things caused belief in Iran's economy to decline dramatically, dragging the rapid price of the rial.
The rate of real GDP growth and inflation of Iran stage 2010-2025. Graph: Statista, IMF
On Al Jazeera, experts argue that the war, sanctions and changes of economic priorities are the cause of this decline in the Middle East economy. Iran is currently one of the most punished countries in the world.
America punished Iran for the first time in 1979, after the Islamic Revolution. Also this year, Washington stopped importing oil from Iran and sealed the country's $12 billion assets. In 1995, President Bill Clinton signed an order to stop American companies from investing in Iran's oil sector and ban the trade with the Middle East nation. A year later, the U.S. Congress passed a law requiring government to punish foreign companies to invest over $20 million a year into Iran's energy sector.
In the following years, both the United Nations and the European Union (EU) punished Iran, relating to the National Nuclear Program.
In 2015, after Iran signed the 2015 JCPOA nuclear deal with the P5+1 (U.S., Russia, China, France, Germany, England, and EU), economic sanctions were loosened. In 2016, the country exported to 2.8 million barrels of oil a day.
However, by 2018, President Donald Trump withdrew the US from the JCPOA deal, recompressed and extended the sanction to Iran. This severely undermines their currency revenue. According to the census of the Iranian Central Bank, the period of 34020-3/2021, the country only collected 23 billion dollars from oil exports. This figure then gradually improved in the following years, up to 67 billion dollars in the period of March 3,024-3/2025.
The punishments so far remain. Even last December, the U.S. released additional sanctions aimed at Iran due to the country's nuclear program, despite the two parties negotiating.
Get out! [People stand watching the smoke column rise after the explosion in Tehran, Iran, 28/2.] Image: AP](data:image/gif;base64,R0lGODlhAQABAAACH5BAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAACACACATATATAEAAEAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAATATATAATAEAEAAEAAAAAAAAAAAAAEAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAEAAAAAAAAAAAAAA
- The people stood watching the smoke column rise after the explosion in Tehran, Iran, on 28/2. Image: AP*
International sanction activity aims primarily at the energy sector of the country. Iran is currently the third largest oil production country in the Oil Export Nations Organization (OPEC), contributing 4.5% of the global supply. Each day this country produces 3.3 million barrels of crude oil, and about 1.3 million barrels of condensate gas as well as other liquid fuels.
Raw oil is considered to be [permanent] (htts ://nvniexpress.net/nang-luc-dau-khi-cu-iran-the-nano-nao (5045557.htm) of this economy, large contributions to the budget and provision of foreign funds. Even so, the mining production was limited due to years of international sanctions and was not properly invested.
Iran also owns the world's leading natural gas reserves. They currently exploit natural gas from the South Pars Mine off the coast. South Pars/North Dome is the largest gas mine in the world. However, technical sanctions and restrictions caused the majority of gas mining from South Pars to be used only in the country.
June 2025, Israel attacked the Shahr Rey refinery near Tehran and the fuel reserves around the capital. Sources of Reuters at that time said Iran had to change oil sales operations to maintain exports during conflict time. Over the course of several days, Tehran only pumped oil into ships one by one. The tankers anchored away from Kharg Island - where Iran exports more than 90% of crude oil - then quickly press near the port to pump oil, which aims to maximize the time here.
Israel also did not trigger South Pars Gas Mine, hitting four facilities at the South Pars Mine. Many of these facilities are in conjunction with American energy corporations such as ExxonMobil and Conoco Publish. Iran would then have to discontinue this part of the mine.
After more than half a year, on 28/2, the US and Israel continue to attack Iran, causing the Iranian Supreme Leader Ali Khamenei to die. Iran also quickly opened a response campaign aimed at Israeli territory, as well as a series of American bases in Middle Eastern countries.
Even so, before being ambushed, Iran has[permanent speed] (htpts ://nvnixpress.net/xuat-haku-dau-dau-ciran-tang-vot-thi-k-bi-cong-cong (545093) crude oil. Kpler data reported that the amount of crude oil and condensation of Iran was carried onto ships earlier week reaching nearly 27 million barrels, nearly three times the average time. In February, each day about 2.3 million barrels of Iranian crude oil were loaded on board, rising 50% over the previous three months.
Despite attempts to maintain Iran's revenues, on Al Jazeera, the analysts still claim that consecutive conflicts will cost Tehran billions of dollars, choke further economic growth and raise concerns about the ability to plan financial policy in long term. Even before the conflict with Israel last year, many economists have assessed Iran's economy being trapped during slow growth, high inflation. This year's food prices are up to 70% more than last year.
In addition to being squeezed from crude oil, the Iranian economy faced many other challenges. Due to a lack of investment, gas productions declined and low-performance irrigation systems, Iran frequently suffered blackouts and lack of water. In addition, long-term budget shortage also made it difficult to invest in long-term economic development and improve infrastructure.
Even so far, Tehran has avoided a complete economic collapse, partly due to China. This is the largest oil buyer and of the few countries that maintain trade with the country. According to Iran Customs statistics, the February 2024 - 323025 period, the two-state non-salvation tranches. Meanwhile, according to statistics of the International Money Fund (IMF), Iran GDP last year was around $434 billion.
The data from Kpler Data Company also shows China purchased about 80% of Iran's export crude oil in 2025. Much of this oil was transported by the "black ship", which was intended to dodge sanctions.
Hamzeh Al Gaaod - economist at TS Lombard Research said Tehran had "a relatively small book for the military". He estimated Iran's spending between 3% and 5% of GDP for defense, which is equivalent to over $12 billion.
As of the middle of last year, Iran had about $33 billion in foreign reserves. "But if they use this reserves for the war, they will face serious risks in the long term", Al Gaaod concluded.
Thomas Thu * (according to Al Jazeera, Reuters, DWAI
[! How's Iran's oil force? ](data:image/gif;base64,R0lGODlHAQABAACH5BAAAAAAAAAAAAAAAAAAAAAAAAACATAAEAAAAAAAAAAAAAAAAAAAAAAAAAAAEAAEAAAEAAAAAEAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAEEEEEEEE 55555757575757557.h.h.h.h.h.h.h.
[How's Iran's petroleum power?]][htpts/vnexpress.net/nang-luc-dau-shia-cu-iran-the-nao [5045557.h]
[It is the 3rd largest oil production water OPEC but Iran's energy industry faces serious disruptions after military raids from the U.S. and Israel.][citation needed][citation needed]
[! [The Iranian oil gun skyrockets before the attack](data:image/gif;base64,R0lGODlhAQAAAAACH5BAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAACAAAAAAAAAAAAAAAAATATATATATATATAAEAEAEAEAEAAEAAAAAAAAAEAAAAAAAAAAAAAAAAAAAEAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAEEEAEEAAEEEEAAAAAEEEAEAAEEEAEAEEAAEEAEAAEAEAEAAAAAEAAEAAAEAAAAAAAEEAEAEAEAA
[This is the amount of Iranian crude oil that has been loaded on the highest ships since 2018, as political risk increases.][citation needed]
Get out! [People stand watching the smoke column rise after the explosion in Tehran, Iran, 28/2.] Image: AP](data:image/gif;base64,R0lGODlhAQABAAACH5BAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAACACACATATATAEAAEAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAATATATAATAEAEAAEAAAAAAAAAAAAAEAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAEAAAAAAAAAAAAAA