Iran has raised gasoline prices for users who exceed consumption quotas for the second time since December, amid soaring inflation and a sharply weakening currency following several months of prolonged war.
On 8 Sep 2026 GMT+7, Iranian state media reported that the government implemented a new gasoline pricing scheme for consumers exceeding quotas starting early Tuesday morning. This marks the second price increase since December as the country's economy faces heavy pressure from a war ongoing for several months.
Under the new pricing system, those purchasing more than 110 liters per month must pay 100,000 rials per liter, about 2.25 baht per liter, doubling the price set since December. The Iranian government did not directly mention the war with the US in its announcement but referred to the current situation and affirmed that the additional revenue from the price hike will be distributed to households.
Although gasoline prices in Iran remain among the lowest worldwide, the increase adds pressure on the livelihoods of over 90 million people, while the rial has depreciated to an all-time low and purchasing power has declined. On Monday, the US dollar traded at approximately 2.22 million rials per dollar.
Iran’s official IRNA news agency reported that domestic oil consumption hit a record high of about 145 million liters per day in August, while domestic production capacity stands at about 122 million liters per day, forcing Iran to import the shortfall of approximately 23 million liters daily.
Keramat Vais Karami, a senior executive at the state oil distribution company, said on Monday that the new gasoline prices will impact about 15% of consumers. He warned that the price hike might further fuel inflation during a period of severe inflation in Iran. According to the Iranian Statistical Center, a government agency, the annual inflation rate is about 67%.
Previous gasoline price increases in Iran have often led to public discontent and large protests. For example, in 2019, a fuel price hike sparked nationwide demonstrations, which were suppressed by the government with force, resulting in over 300 deaths.
Source: AP