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Zanganeh : Higher Gasoline Prices Will Add $2.5b to Welfare Spending

Zanganeh : Higher Gasoline Prices Will Add $2.5b to Welfare SpendingZanganeh : Higher Gasoline Prices Will Add $2.5b to Welfare Spending

Oil Minister Bijan Namdar Zanganeh says the latest rationing and doubling of gasoline that started on Friday (Nov. 15) will increase annual government revenues by $2.5 billion that will be used exclusively for welfare spending.
Prior to the price hike (when gasoline was sold at 7 cents), the government’s annual earnings from selling gasoline amounted to $31.7 billion. Now this will reach $34.2 billion or  8% higher.
“Daily consumption now is around 95 million liters and is projected to rise to 100 million liters in the next fiscal year, of which 67% or 24.5 billion liters will be sold at 15,000 rials (13 cents) per liter and the rest (12 billion liters) at 30,000 rials (26 cents) per liter,” ILNA quoted the minister as saying.

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