Last remaining seats to the Jpost 2017 Annual Conference! Get your special offer now

Parliament rejects Iran subsidy cuts proposals

ByREUTERS
May 6, 2012 13:45

DUBAI - A committee of Iranian lawmakers has rejected a government plan to increase prices for subsidized food and fuel in a move that threatens to derail a drive to rein in the country's sanctions-squeezed budget, Iranian media reported late on Saturday.

International sanctions imposed over Iran's nuclear program have sharply reduced the amount of money Tehran earns from oil, upping pressure on President Mahmoud Ahmadinejad to push through cuts in government spending worth tens of billions of dollars by scaling back subsidies for the population.



But a parliamentary committee examining this year's budget - which the overall parliament has yet to approve - rejected the size of the proposed cuts, setting the stage for a possible compromise deal that may force the government to sign up to far less ambitious cost-savings.

"The Majlis (parliament) may agree to raise energy prices to some extent, but far less than the administration has requested," the parliament's Integration Committee said, according to the Mehr News agency.

Share this article via
from around the web
Related Content
Breaking news
April 30, 2017
Supreme Court cuts Metzger sentence to 3.5 years

By YONAH JEREMY BOB

Top Stories
Israel Weather
  • 13 - 34
    Beer Sheva
    16 - 25
    Tel Aviv - Yafo
  • 16 - 29
    Jerusalem
    15 - 27
    Haifa
  • 21 - 32
    Elat
    19 - 34
    Tiberias