Iran stats agency says year-on-year inflation hits 88.6%

Inflation in Iran rose sharply in June, driven by the Middle East war, reaching a peak of 88.6 per cent year-on-year, according to official figures released on Saturday, June 27.

According to the Statistical Centre of Iran, during May 22–June 21, food prices more than doubled year-on-year, in a country already long plagued by hyperinflation due to sanctions.

Recommended For You

Son of UAE businessman Mustafa Galadari dies at 24; funeral to be held on Sunday

US CENTCOM says Strait of Hormuz 'open to all vessels', not controlled by Iran

UAE, Bahrain deal with fresh missile threats after US launches retaliatory strikes overnight

Iran's Araghchi to travel to Oman for talks on Hormuz Strait: Irna

Blast heard in eastern Tehran was controlled ammunition disposal: Iran media

 

Bread and grain prices rose by 138.8 per cent, milk, cheese and eggs by 151.9 per cent, while the prices of red meat and poultry skyrocketed by 178.2 per cent.

Stay up to date with the latest news. Follow KT on WhatsApp Channels.

By comparison, year-on-year inflation stood at 68 per cent in February, prior to the outbreak of the war launched by the United States and Israel against the Islamic republic.

In December 2025, when protests against the high cost of living erupted — later expanding to include political demands — inflation had risen by 52.6 per cent year-on-year.

Iranian statistics are reported monthly based on the Persian calendar, with each year beginning in March.

For years, the Iranian economy has been hampered by chronic hyperinflation and a sharp depreciation of the national currency, the rial, largely as a result of international sanctions imposed on the country.

This phenomenon, which has eroded Iranians' purchasing power, has intensified in recent months, and triggered widespread protests in December.

The Middle East war has further exacerbated the economic crisis.