Azerbaijan, Baku, Feb. 21/ Trend M. Moezzi
Payments made to Iranians for energy subsidies will increase only if energy prices go up, the Islamic Republic News Agency (IRNA) quoted Iran's minister of economy as saying.
The second phase of eliminating energy and commodities subsidies will include higher energy prices for Iranians. It isn't clear if this second phase will start by the end of this year or next (Iran's solar year ends on March 20), Iran's Minister of Economic and Financial Affairs, Seyed Shamseddin Hosseini, said.
President Mahmoud Ahmadinejad's administration is ready to implement the program now, the minister said.
Each citizen gets about $45 a month within Iran's one-year-old targeted subsidies program while eliminating subsidies for energy and commodities.
The government was expected to save $54 billion per year. Instead, it has had to borrow $6.5 billion from the Iranian Central Bank to provide its citizens with the cash payments.