Iranian President Peskov stated, "We mentioned in government meetings that we promised to increase subsidies based on the rate of currency appreciation, but we failed to deliver. We feel ashamed towards the people for this, and the reason is clear: the national balance of payments is unbalanced. We must control demand. When we cannot export goods, we have no foreign exchange earnings. In this situation, if demand is not controlled, insufficient foreign exchange supply coupled with strong demand will cause the exchange rate to rise continuously, ultimately leading to demand-driven pricing. We have already curbed demand to some extent, but there is still a significant gap between supply and demand. Part of the reason is also political factors—the exchange rate immediately rose when the US announced it would tighten its blockade; and then it fell back when Oman sent representatives to negotiate. Raising oil prices rashly would create difficulties for the people. We shouldn't supply (fuel) at the current price, but people have become accustomed to this level, and we shouldn't disrupt their lives."
