CBI Touts Efficacy of Ending Forex Subsidy

Demand for subsidized foreign currency declined by almost $2 billion since the end of the subsidized forex policy six months ago, compared with the same period last year, the spokesman of the Central Bank of Iran said.
“During the period under review (March 21-Sept. 22), global prices for essential goods increased largely due to international circumstances. The result was an increase in demand for forex for imports in most countries. 
However, with the end of forex subsidies for the import of  essential goods in Iran we managed to reduce currency  demand in the country,” Mostafa Qamari-Vafa was quoted by IBENA as saying.   
Costly forex subsidy ($1=42,000 rials) was given by the government under former president Hassan Rouhani and was seen as unsustainable and highly controversial by some economists and the Raisi administration, ultimately resulting in its elimination.