**Title: Iran Acknowledges Economic Impact of Ongoing Conflict with the U.S.**
**Tehran, Iran** – In a significant acknowledgment of the economic challenges facing the nation, Iranian leaders have reported the detrimental effects of the ongoing conflict with the United States, which has persisted for six months. President Masoud Pezeshkian revealed that foreign trade has contracted by more than 35% due to U.S. sanctions and a naval blockade.
During a recent address, President Pezeshkian emphasized the urgency of addressing the economic fallout from the war, which has led to soaring inflation and rising unemployment. He noted that Iran's exports and imports have plummeted nearly 35%, severely impacting the country's economy. Despite these challenges, he mentioned that Iran had managed to sell approximately 90 million barrels of oil during a brief period of permitted sales under a Memorandum of Understanding (MoU) with Washington earlier this year.
The Supreme Leader of Iran, Ayatollah Mojtaba Khamenei, also underscored the need for the government to tackle pressing economic issues. In a written statement, he called for serious efforts to address inflation, unemployment, and the management of prices and market stability. Annual inflation has reportedly surged to 66%, causing significant hardship for many residents.
Tehran's residents have expressed their struggles in the wake of the conflict. Maryam, a local resident, shared her experience, stating, “Before the war, I didn’t work. Since the war, I’ve had to find a job to help support my household. Everything has become so expensive.” Another resident, Omid, who operates a food business, lamented the drying up of trade and rising rents, saying, “We can barely afford to pay our workers.”
In response to the economic turmoil, the Iranian government has pledged to focus on curbing inflation, creating jobs, and reducing reliance on the U.S. dollar. In a statement, officials described diplomacy and defense as “two complementary, coordinated and inseparable wings” for safeguarding national interests and territorial integrity. They expressed a commitment to pursue both avenues in a balanced manner.
The government is also promoting a message of unity amidst the crisis. President Pezeshkian has called for dialogue and a less confrontational relationship with neighboring countries, emphasizing that no country should dominate another. Meanwhile, Supreme Leader Khamenei has urged for domestic unity and social cohesion during these challenging times.
Recent diplomatic efforts have included a visit from Qatari Prime Minister Sheikh Mohammed bin Abdulrahman bin Jassim Al Thani, who met with Iranian leaders in Tehran. The discussions highlighted the importance of restoring open shipping through the Strait of Hormuz, a vital waterway for global oil transport. Iran's Foreign Minister Abbas Araghchi characterized the talks as “creative,” indicating a willingness to engage in constructive dialogue.
On the military front, Iranian officials have maintained a defiant stance. Army commander-in-chief Amir Hatami asserted that despite the adversarial actions of the "enemy," Iran's drone and missile capabilities remain intact. He stated that the military's stockpile had been utilized “with the utmost intensity until the last moment.”
Acting Defence Minister Majid Ibn Reza also indicated that Iran has “surprises” in store for its adversaries, suggesting that the nation is prepared for potential escalations in the conflict.
As the situation unfolds, Iran's leadership appears committed to navigating the dual challenges of economic hardship and military confrontation while seeking diplomatic avenues to mitigate the impact of U.S. sanctions and military actions.