Iran Household Budgets: 168 Million Rials for a Three-Person Food Basket

Central Bank Governor Abdolnaser Hemmati admitted on October 23 that the Iranian public faces a heavy financial burden. He stated that external efforts to isolate the country’s economy have not achieved their primary goals. His comments come as new data shows the cost of basic nutrition has nearly doubled in the last year.

Factnameh, a fact-checking organization based in Canada, calculated that a basket of 11 essential food items costs 56 million rials per person. For a family of three, this total reaches 168 million rials, or approximately $61.70. The government provides a food voucher worth 10 million rials, which now covers less than 18 percent of that individual cost. That coverage was roughly 30 percent in December 2025.

Annual inflation reached 89.9 percent in September. The average monthly wage in the country is estimated at $100. These figures reflect years of sanctions and a declining rial. Recent conflicts have worsened the situation. The United States and Israel launched a war against Iran on February 28, damaging infrastructure. A US naval blockade reduced oil exports and imports. Iranian attacks in the Strait of Hormuz further disrupted shipping. In August, the US Treasury initiated a sanctions campaign called Economic D-Day to tighten financial isolation.

Households in central Tehran are altering their shopping habits to cope. A field survey by Radio Farda found that families are prioritizing certain necessities and abandoning others. Cooking at home has become significantly more expensive. A dish of chicken and barberry now costs nearly twice what it did a year ago. A serving of ghormeh sabzi with rice costs 23 million rials. Potato patties, known as kookoo sib zamini, cost about 4 million rials.

One family in the survey reported saving meat and chicken for their growing children. The parents eat legumes and meat substitutes. They fear that rising prices will eventually force them to remove protein from the children’s diets as well. The economic strain has also affected social spending. A 28-year-old woman earning 400 million rials a month said she and her friends now split single dishes at cafes to manage costs.

Even households with above-average incomes are struggling to save. A man in western Tehran earns 1 billion rials per month from his salary and rental income. This is well above the average Tehran household income of 600 million rials. He noted that he can cover immediate expenses but has no reserves for the future. Travel and dining out have been removed from his budget.

Retired citizens are also adjusting their diets. A woman living on a 180 million rial monthly pension cut back on meat since March. She worries about her health but considers herself fortunate because she does not pay rent. A newly married woman in Tehran said her wedding fund was used for a housing deposit. She now works two shifts to repay a loan. She told Radio Farda that her home is now just a place to sleep and that she feels poorer each morning.

These changes in consumption patterns reflect a broader shift in how Iranians manage their money. The pressure to reduce spending on food, housing, and leisure is driving the current economic behavior. The gap between income and the cost of essentials continues to widen.