Tehran Households Slash Protein and Savings as Inflation Hits 90 Percent
New data reveals how soaring food costs and a weak rial have forced residents to split meals and abandon long-term financial planning.
By Elizabeth Morales ·

Tehran’s economic pressure has intensified, forcing residents to restructure their daily budgets around immediate survival rather than comfort or future security. This shift marks a sharp departure from previous spending habits among the city’s working and middle-class populations.
Annual inflation in Iran reached 89.9 percent in September, according to government data. The monthly wage is estimated at approximately $100. A basket of 11 essential food items costs 56 million rials, or $20.70, per person each month. For a family of three, that total climbs to more than 168 million rials, or $61.70. The government’s food voucher, worth 10 million rials, now covers less than 18 percent of the per-person cost. That coverage has fallen from about 30 percent in December 2025.
Central Bank Governor Abdolnaser Hemmati addressed the economic strain on October 23. He described the situation as a "heavy burden" for Iranians. He stated that efforts to isolate the country’s economy failed to achieve their primary objective. The rial has continued to fall in value against major currencies. Years of international sanctions and recent military conflicts have compounded these structural weaknesses.
A field survey by Radio Farda in central Tehran documented specific changes in household behavior. Families are prioritizing basic necessities and abandoning discretionary spending. Activities once considered normal for the middle class, such as dining out and traveling, have largely disappeared from routine budgets. Residents are also cutting back on savings, viewing cash reserves as vulnerable to devaluation.
One newly married woman in Tehran stated that funds set aside for a wedding celebration were redirected to a housing deposit. She now works two shifts to repay a loan. She and her husband spend most of their waking hours at work. "Our home has turned into the place we just sleep," she told Radio Farda. She added that each morning, the couple knows they are poorer than the day before. She asked that her name be withheld.
Another resident in central Tehran explained that her family reserves most meat and chicken for their children. She and her husband consume legumes and meat substitutes to stretch their budget. They fear further price increases could force them to cut meat from the children’s meals as well. The cost of preparing chicken and barberry at home is nearly twice what it was a year ago. A meal of ghormeh sabzi, a traditional herb stew served with rice, costs 23 million rials, or $8.45. Potato patties known as kookoo sib zamini cost about 4 million rials.
A retired woman living on a monthly pension of 180 million rials, or $66, reported changes in her diet. She began cutting back on meat and other major protein sources when the Iranian year started in March. She worries about her health but considers herself fortunate because she does not pay rent. Her pension represents a fixed income in an environment where prices are rising rapidly.
Higher earners are also experiencing financial strain. A middle-aged man in western Tehran said his salary and rental income total a billion rials, or $367, per month. This amount is well above the average monthly household income in Tehran, which is around 600 million rials, or $220. He noted that while he can manage daily expenses, he has no savings for the future. "I can live for today, but I have no savings for tomorrow," he said. Travel, dining out, and saving have been removed from his lifestyle.
A 28-year-old Tehran woman earning 400 million rials, or $147, a month, described changes in her social habits. She and her friends previously visited cafes weekly. Now, they often order one dish for every two people to split the bill. She said sharing is the primary method to make social outings affordable. These adjustments reflect a broader trend where social spending is minimized to preserve cash for essential goods.
The United States and Israel launched a war against Iran on February 28, which damaged infrastructure and disrupted trade. A US naval blockade of Iranian ports has reduced oil exports and imports of goods. Iranian attacks aimed at controlling the Strait of Hormuz have further hindered shipping. In August, the US Treasury began a new sanctions campaign, described by officials as "Economic D-Day," to isolate Tehran financially. These external pressures have accelerated the domestic cost of living.
Source: RFE/RL
More Business · World news · Buyer Beware · Report a business · Got a Story?





