Iran Ceasefire Brings Some Relief Amid Grim Economic Outlook

Tehran’s Grand Bazaar Sees Increased Activity Amid Ceasefire

A ceasefire in fighting has led to an increase in activity at Tehran’s Grand Bazaar, with more shops open for longer hours on Saturday compared to before the ceasefire. However, sales remain slow.

The bazaar, a commercial hub in the capital city, saw a higher number of shops open and operating during the first day of the working week. Vendors reported that new price listings were received from wholesalers, with prices increasing by 20-30% compared to late January.

The increase in prices is attributed to inflation, which has been exacerbated by nationwide protests and a state-imposed internet blackout. The Islamic Republic imposed another near-total internet shutdown since February 28, affecting income streams for families trying to survive the war.

A young woman based in Tehran expressed concerns about the impact of the internet shutdown on her online English teaching business. She noted that local messaging services and platforms are unsafe from a security standpoint and do not allow foreign-based students to access due to Iranian internet protocol restrictions.

The government has promised to provide digital businesses with support, including loans and better internet connections. However, it is unclear how these businesses will operate without customers who rely on the global internet for connectivity.

Telecommunication carriers have announced plans for “Internet Pro,” a tiered internet system with varying degrees of connectivity for different people and professions. The situation for the embattled Iranian economy remains uncertain, as the impact of attacks against civilian infrastructure is expected to worsen over time.

The US and Israel have bombed and damaged Iran’s civilian infrastructure, leading to concerns about the deepening economic crisis.

Source: Al Jazeera