INDICES
  • Samba 65 00% 56.65%
    Joga2002 635.254 50% 63.63%
    Bra52 69 23.145% -63.25%
    Joga2002 635.254 50% 63.63%
  • HangSang20 370 400% -20%
    NasDaq4 33 00% 36%
    S&P5002 60 50% 10%
    HangSang20 370 400% -20%
    Dow17 56.23 41.89% -2.635%
-

EghtesadOnline: Following a sharp surge in fuel prices, Iranian authorities have rolled out measures to forestall any price hike for other services and goods.

The E-Commerce Development Center of Iran says local startups are under scrutiny and would not be allowed to increase prices.

In a statement published on the government affiliated center’s website, it was announced that startups’ activities are to be monitored and penalties would be imposed in case businesses jack up prices.

The Iranian government decided to raise gasoline prices by 50-200% overnight on Nov. 15, in addition to introducing a rationing system, according to Financial Tribune.

As per the new regulations, private car owners can buy 60 liters of subsidized gasoline every month with a fuel card for 15,000 rials (12.1 cents) per liter, up 50%. Additional purchases (maximum 250 liters a month) will cost 30,000 rials (24.3 cents) per liter—up 200%.

The overnight decision triggered widespread protests throughout Iran which, in some cases, turned violent.

Anyone with the slightest understanding of basic economics would know that tripling fuel prices would ripple through all sectors and cause sharp surges even in the prices of things not involving fuel. 

However, Iranian authorities claim that by “cracking down on profiteers”, they can forestall changes in prices.

 

Costs Surge Iran fuel prices Price Hike online services Scrutiny