Russia currently has more sanctions on it than Iran does, yet the Russian economy has managed to keep growing and getting stronger. The Russian ruble is still relatively stable.
Yet in Iran, it seems like the economy is declining and there is a currency crisis. Iranians only make about 150 USD a month. It's hard to get a job, unless you know a boss at a company. It's hard for Iranians to save money or buy stuff, because the currency keeps declining.
At this point, the old "the economy is bad due to sanctions" lie cannot stand, as Russia has proven that it is possible to grow the economy under heavy US sanctions.
While I agree with Iran on keeping Iran independent with a strong military and influence and supporting Palestine, it seems to me that the government has serious systemic issues. Especially in the economic sector.
So what's the excuse now? Why can't Iran improve its economy and increase living standards and increase the value of the currency? If Iran wants to spread the Islamic revolution, then why not show that you are economically successful?
The better your economy is, the harder it is for foreigners to bribe Iranians or to get a color revolution started as well.
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Because Iran has a faction called reformists, and it doesn't have the same firm and stubborn stance of keeping its interests forever and spreading radical separatism.
Iran hasn't taken the extreme measures that Russia has.
Under the presidency of Ahmadinejad and Raisi, the GDP was growing faster and the living crises were improving. The GDP had a sharp decline when "lawful negotiators" came to power.
Excessive nationalist isolationism and looking up to the west, while ignoring possible 3rd world partners, is bad for the economy. It's simple economics. You need to look for customers to export your products, because that's how you earn. You don't earn by importing from those more developed than yourself.
If Iran had a more Nasserist policy to endorse alliances in the Global South, and look for real economic partners it could export to, that would benefit the economy.
No, it was not. That is absolutely false. Living standards were shit with Raesi too.
So much ignorance in a post, just google it bro or use common sense…
Russia is a Giant and has been a world power and rival to the US, they sell energy, trade with China and India and back door dealing with the US. Also Russia has been at war for the past 5 years and war time boosts the economy
Iran is an Isolated 50 year old nation, that suffers from energy shortages.
as in when the Islamic Republic was established? because calling it a "50 year old nation" is wild.
Before IRGC it was just puppet states selling Iranian resources and just before the Shah was ousted, the upper society took most of iran’s wealth wtih them
True, I almost forgot about the British and the Soviets.
President Raisi was flying a plane from 1968, a lot of their fleets are from when the Shah was in power.
It is disheartening how this Country was alienated from the world and force to fend for itself, but despite it all they stay strong
Alhamdulillah absolutely, These Western/powerful countries unfortunately don't care about the historical country of Iran despite its achievements that it held towards society and only wanting it for themselves. Not to mention they could care less about ending the nation as a whole (god forbid).
Iran is a giant as well, and has been a regional power for ages before modern times.
Iran is also in BRICS, and can just as easily trade with China and India and Russia etc.
Iran didn't have to be isolated, and could have easily traded with the USSR 50 years ago, while being anti-Zionist.
Persian Empire and Iran aren't the same. Iran today isn't Iran in 1960
Neo-liberalism
There is your answer. After the Ukraine war Russia quickly figured that they can't keep the same system (Classic Neo-liberalism) in place while fighting the entire Nato on their western front. The current economic model in Russia resembles a state-capitalism a lot more than the classic Neo-liberal model.
You remember a lot of Russian oligarchs "dying" in random accidents and car bombings in Russia after Putin failed to achieve his goals in the first a few months of the war? That was Russia "transitioning" to something else.
As long as Neo liberalism practices (private banks with a GREAT degree of freedom, privatization of core economic sectors such as Oil related industries, ...) exist in Iran, Iran does not have any chance of major economic improvements. They also can never get close to countries like China and Russia since the same oligarchs who own these sectors sabotage any effort.
Iran doesn’t have a 400 billion dollar 30 year deal or whatever with china to buy oil and china will sell goods and build infrastructure in Iran.
Unfortunately, china is about the only country with balls to ignore the Americans .
The deal is useless. China doesn't abide by it. They do buy oil, but that's about it.
Serious question. You think Iran's current economy would thrive off a war? A war economy doesn't just work for any country. If that was the case, the government would've extended the 12-day war to a 12-month war.
That wasn’t a war though
My point is that the country cannot afford a long drawn out war. Iran is not Russia, China, or the US.
I agree, which is why comparing Russia and Iran's economies isn't a good comparison.
Corruption. There are other reasons, but the main one is corruption. Also, incompetence.
Youre why question alone is valid.
But your: why...while, is wrong to begin with.
I don’t like the question because it’s based off of assumptions and the OP made his conclusion already.
Russia and Iran is a bad comparison
“Economy is bad because of sanctions” it’s not a lie 💀💀 it’s the result of sanctions
Yes just like any other country, Iran has corrupt officials
How do you do that? We live in a IMF world where we trade in USD. Before you say BRICS, they don’t do anything but take photos… BRICS is a pipe dream.
Saddam’s Iraq would like to know your location. Gaddafi wants to talk.
Neo-liberalism
There is your answer. After the Ukraine war Russia quickly figured that they can't keep the same system (Classic Neo-liberalism) in place while fighting the entire Nato on their western front. The current economic model in Russia resembles a state-capitalism a lot more than the classic Neo-liberal model.
You remember a lot of Russian oligarchs "dying" in random accidents and car bombings in Russia after Putin failed to achieve his goals in the first a few months of the war? That was Russia "transitioning" to something else.
As long as Neo liberal practices (private banks with a GREAT degree of freedom, privatization of core economic sectors such as Oil related industries, ...) exist in Iran, Iran does not have any chance of major economic improvements. They also can never get close to countries like China and Russia since the same oligarchs who own these sectors sabotage any effort.
Because too many people are draining others' money. Taxes, bureaucracy, theft.
Lack of central economic planning, decentralized political structure, corruption in every sector.
Countries like Iran that don't know how to plan far ahead are better off being NATO shills like Turkey or Saudi instead of burning itself away trying to resist US empire.
It's surprising that they don't care to fix any of it. They could use their brains to actually plan and improve their own country.
Russia's economy is a wartime economy. Banks give loans for arm production. Since weapons will be used, people invest in companies that make weapons. And the economy grows. Laws were also changed where half the loans given out to arms production is backed by Russian peoples private savings. And the loans have a real low interest rate so the companies keep borrowing. Once the war is over, then a lot of the arms producers will most likely default on their loans. That situation is a ticking time bomb.
Also during this period money that normally goes towards infrastructure and education is going towards military salaries and the war. So the things that drive the real economy are eroding. At this point if Russia doesn't get a good profitable chunk of Ukraine, it'll fold like a house a cards once the war is over.
So Russia's economy isn't booming. It's a wartime bubble waiting to pop when the war stops. Being that it has such a large nuclear arsenal, the surrounding markets will probably make it easier for Russia to stay solvent. No one wants nukes just floating around.
I think Russia will get a hug portion of Ukraine, and possibly all of it.
All of those resources and people and factories and companies, in what is Ukraine today, will be absorbed by Russia and taken over by Russian companies.