Hidden rent | More high-consumption subsidies / The need to support low-income earners in the event of a government currency reform

Ahmad Salehi, in an interview with Fars News Agency’s economic correspondent, regarding the need to reform the 4,200 Toman currency, said: “During the last 80 years, subsidies have been distributed in our country in a way that the most consumed have had more.”

He added: “Therefore, the issue of reforming the government currency in the structure of the country’s economy for any reason, whether due to the 80-year-old incorrect structure of subsidies or lack of sufficient foreign exchange resources, the government should guarantee that by reforming the government currency And rising commodity prices will support them, especially the low-income groups.

This economic researcher, referring to some problems of double exchange rate in the import of basic goods, said: “Currently, some goods are imported into the country with a currency of 4200 Tomans, which is allocated in the form of subsidies for the import of these goods, so all government monitoring tools should be It should be used so that there is no violation in the whole chain of import of goods from the stage of allocation to its distribution, and the allocated government currency hits the import of basic goods to the target community.

Salehi, emphasizing that with the 4200 Toman currency reform, the process of importing goods may be disrupted, said: “This point is very important and should be considered by the government to prevent any disruption in this sector with careful planning.”

The economist said: “As long as 4200 currency is allocated to the import of basic goods, importers know that if they try to import basic goods, they will have a preferred currency, so they continuously import goods and items needed by the people.” It is also supplied without interruption and without continuity, but in case of stopping this type of currency and if the importers are forced to import in free currency, the import may no longer be beneficial for the importer and as a result it will stop its import. Slowly

Emphasizing the need to replenish stocks of basic goods before reforming the preferred currency, Salehi said: “The government should store all the required basic goods for at least 6 months so that in case of any disruption in the import of basic goods, it can provide the required goods and careful planning.” Prevent any problems in the supply of basic goods.

Referring to the issues raised regarding the payment of subsidies in case of currency reform of 4200 Tomans, he said: There are two methods to hit the subsidy at the destination. The first method is to pay cash and deposit it in people’s accounts, which can have inflationary effects. The second is to give credit to a commodity using modern distribution tools.

Salehi added: “In the method of allocating credit purchase cards, people can buy various goods, including meat and rice, from stores in the amount of the charge amount, in which no money is injected into society.”

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