Iran admits that war and U.S. sanctions have created financial pressure but insists the economy is still coping. Meanwhile, the World Bank predicts a 7.7% economic contraction in fiscal years 2026-2027 GMT+7.
On 21 Oct 2026 GMT+7, Abdolnaser Hemmati, Governor of Iran's Central Bank, affirmed the economy remains resilient and described claims of economic collapse as an illusion. The government insists it will handle U.S. pressure and aims to end the blockade on its own terms.
Iranian officials denied U.S. allegations that the Islamic Revolutionary Guard Corps (IRGC) is so short of funds it cannot pay personnel or support regional allied groups, while acknowledging that war and sanctions have severely strained the economy.
Brad Cooper, commander of the U.S. Central Command, stated that military attacks and naval blockades near Iran's southern ports have cost at least $25 billion in crude oil export revenue and led to the seizure of about $350 million in cryptocurrency assets. He also claimed Iran-backed armed groups in the region are beginning to face personnel payment shortages.
Iran's economy has faced high inflation, currency depreciation, low-wage jobs, and isolation from the global economy. The World Bank forecasts a 7.7% contraction in fiscal years 2026-2027 GMT+7.