Tehran, Iran – Reuters reported in a recent analysis that Iranian officials have acknowledged unprecedented pressure on the domestic economy. This comes as the open military confrontation with the United States enters its sixth month. In this context, Iranian President Masoud Pezeshkian stated that the naval blockade and tightened US sanctions have led to a 35% decrease in total exports and imports. This coincides with the annual inflation rate reaching a record high of 66% last month.
Public calls to address the cost-of-living crisis and market turmoil
Domestically, Supreme Leader Mojtaba Khamenei issued an official statement urgently calling on the government to intensify efforts to address the worsening economic and living conditions. His directives included the need to control inflation and unemployment rates. He also called for improved price management mechanisms and stricter controls on the market for basic goods and services that are burdening citizens. This comes as other leaders in the Islamic Republic insist on maintaining control over the Strait of Hormuz and continue to issue threats of retaliatory measures against Washington.
Qatari diplomatic moves to contain the Strait of Hormuz crisis
In regional efforts to de-escalate tensions and revive the diplomatic process, Qatari Prime Minister and Foreign Minister Sheikh Mohammed bin Abdulrahman Al Thani paid an official visit to Tehran last Thursday. During his visit, he met with senior Iranian officials. The Qatari official emphasized the need to restore international shipping traffic in the Strait of Hormuz to its pre-war levels. For his part, Iranian Foreign Minister Abbas Araqchi described the talks as “fruitful.”
Continued field tensions and a decline in maritime shipping activity
On the ground, the Strait of Hormuz crisis remains the main point of contention. While US President Donald Trump repeatedly insists that the waterway is safe and open, the Iranian Revolutionary Guard Corps Navy categorically denies this. The navy maintains that commercial vessels cannot pass through without prior authorization. Initial shipping data directly reflects these tensions. For example, only seven cargo ships transited the Strait of Hormuz on Thursday, a significant decrease compared to the 17 ships the previous day. This foreshadows further complications in global supply chains.
