Subsidies for basic goods reach more of the rich – Mehr News Agency | Iran and world’s news

According to the Mehr reporter, Dariush Abu Hamzeh, in an interview with Sima News Network, asked whether the subsidy allocation mechanism is fair or not, and said: “Studies and reports by the Ministry of Health and the Statistics Center show that the consumption of white meat is in the top ten.” The third population is 64 grams per day, while the daily consumption of the tenth decile of the population is 124 grams.

He added: the share of the third decile in dairy consumption is 120 grams per day and the tenth decile of the society is 219 grams.

Abu Hamza continued: “The purpose of allocating subsidies was to focus support so that the share of low-income groups and the lower deciles of society is more than these subsidies.” While what actually happens is different.

The Deputy Minister of Welfare added: “In a society that is supposed to provide more support to the lower classes in terms of income, we see that the upper deciles benefit more from these subsidies.”

Abu Hamza stated: The mechanism of injecting subsidies is such that it is not clear that these subsidies will necessarily reach the end of the chain. As the field evidence as well as the reports of the Parliamentary Research Center prove this. At the same time, these subsidies do not necessarily reach the lower deciles of the society, and if they reach the consumer, the share of rich people is higher.

“There are several ways to generate injectable subsidies,” he said. These problems have existed since 1997, when the program began.

Abu Hamza emphasized: If we do not want the country’s resources to be wasted, naturally we must correct its logic.