Economic Crisis in Iran, Impeachment Process Against Finance Minister Abdolnaser Hemmati Begins - Parliament to Vote Today

Economic Crisis in Iran, Impeachment Process Against Finance Minister Abdolnaser Hemmati Begins - Parliament to Vote Today

Iran's parliament initiated impeachment proceedings against the country's Finance Minister Abdolnaser Hemmati on Sunday, citing severe inflation and the significant devaluation of the rial, the national currency.

On Sunday, in the black market, one US dollar was trading for 920,000 rials, up from 600,000 rials in mid-2024. Iran's parliament is set to vote on Hemmati's impeachment this afternoon, and any removal would require the support of the majority in the 290-member legislature.

President Masoud Pezeshkian will defend Minister Hemmati, and he will also speak in favor of his own record.

Various politicians have harshly criticized the Finance Minister, blaming him for the country's dire economic situation. A member of parliament, Ruhollah Motefakker-Azad, said, "People cannot tolerate the new wave of inflation; the rise in foreign currency and other goods' prices must be controlled." Another parliamentarian, Fatemeh Mohammadbeigi, said, "People cannot afford to buy medicine and medical equipment."

Pezeshkian took office in July 2023 with the aim of reviving the economy and lifting some Western-imposed sanctions. However, the depreciation of the rial has only intensified, especially after the fall of Iran's ally Bashar al-Assad in Syria in December.

Since the United States withdrew from the 2015 nuclear deal in 2018, Iran's economy has been severely impacted by U.S.-led sanctions. The deal, formally known as the Joint Comprehensive Plan of Action, was supposed to ease sanctions in exchange for restrictions on Iran's nuclear activities.

Meanwhile, inflation in Iran reached 44% in 2023, according to the latest report from the World Bank. According to Iran's constitution, if the minister is removed, the dismissal will take effect immediately, and a caretaker minister will be appointed until a replacement is chosen.

In April 2023, parliament members voted to dismiss former Minister of Industry Reza Fatemi Amin due to a surge in prices linked to international sanctions.Iran's parliament initiated impeachment proceedings against the country's Finance Minister Abdolnaser Hemmati on Sunday, citing severe inflation and the significant devaluation of the rial, the national currency.

On Sunday, in the black market, one US dollar was trading for 920,000 rials, up from 600,000 rials in mid-2024. Iran's parliament is set to vote on Hemmati's impeachment this afternoon, and any removal would require the support of the majority in the 290-member legislature.

President Masoud Pezeshkian will defend Minister Hemmati, and he will also speak in favor of his own record.

Various politicians have harshly criticized the Finance Minister, blaming him for the country's dire economic situation. A member of parliament, Ruhollah Motefakker-Azad, said, "People cannot tolerate the new wave of inflation; the rise in foreign currency and other goods' prices must be controlled." Another parliamentarian, Fatemeh Mohammadbeigi, said, "People cannot afford to buy medicine and medical equipment."

Pezeshkian took office in July 2023 with the aim of reviving the economy and lifting some Western-imposed sanctions. However, the depreciation of the rial has only intensified, especially after the fall of Iran's ally Bashar al-Assad in Syria in December.

Since the United States withdrew from the 2015 nuclear deal in 2018, Iran's economy has been severely impacted by U.S.-led sanctions. The deal, formally known as the Joint Comprehensive Plan of Action, was supposed to ease sanctions in exchange for restrictions on Iran's nuclear activities.

Meanwhile, inflation in Iran reached 44% in 2023, according to the latest report from the World Bank. According to Iran's constitution, if the minister is removed, the dismissal will take effect immediately, and a caretaker minister will be appointed until a replacement is chosen.

In April 2023, parliament members voted to dismiss former Minister of Industry Reza Fatemi Amin due to a surge in prices linked to international sanctions.