Tehran Households Abandon Savings as Food Costs Hit 168 Million Rials

Inflation in Iran has climbed to nearly 90 percent, forcing households in Tehran to restructure their daily budgets around survival rather than stability. The economic pressure has driven families to reduce spending on meat, travel, and savings, a shift confirmed by recent field surveys and central bank data.

The current crisis builds on years of international sanctions and a weakening rial. In January, high living costs fueled widespread protests that ended in a deadly government crackdown. The situation worsened in February when the United States and Israel launched a war against Iran, damaging infrastructure. A US naval blockade of Iranian ports followed, reducing oil exports and limiting imports. In August, the US Treasury initiated a new sanctions campaign labeled Economic D-Day to further isolate Tehran financially.

Radio Farda conducted a field survey in central Tehran that revealed changing shopping habits among residents. Families are now prioritizing which necessities to buy and which to skip. Middle-class activities, such as dining out, are becoming rare. The cost of home cooking has risen sharply. A meal of ghormeh sabzi with rice now costs 23 million rials, while potato patties cost about 4 million rials. Chicken and barberry dishes cost nearly twice as much as they did a year ago.

Factnameh, a Canadian fact-checking outlet, calculated the cost of a basket containing 11 essential food items. In September, this basket cost 56 million rials per person. For a family of three, the total reached more than 168 million rials. The government food voucher, valued at 10 million rials, covered less than 18 percent of the per-person cost. This is a decline from approximately 30 percent in December 2025. The average monthly wage in Iran is estimated at around $100.

Central Bank Governor Abdolnaser Hemmati addressed the public on October 23. He acknowledged the heavy burden on Iranians but stated that efforts to isolate the economy had not achieved their main objective. A retired woman receiving a monthly pension of 180 million rials said she has cut back on meat and protein sources since March. She worries about her health but notes she does not pay rent.

Higher earners are also feeling the strain. A middle-aged man in western Tehran reported household earnings of 1 billion rials per month. This figure exceeds the average Tehran household income of 600 million rials. Despite the higher income, he said he can live for today but has no savings for tomorrow. He has eliminated travel, dining out, and saving from his routine.

A 28-year-old woman earning 400 million rials monthly changed her social habits to manage costs. She and her friends used to visit cafes weekly. Now they often order one dish for every two people to split the bill. She described sharing food as the primary method to make an outing affordable.

A newly married woman in Tehran said her wedding fund was used for a housing deposit. She now works two shifts to repay a loan. She and her husband spend most of their time working. She told Radio Farda that every morning they know they are poorer than the day before.