Speaker of Iran’s parliament Ali Larijani says an additional source of funds must be found to pay for the destruction floods have caused in the country. He indicated that there is no money in the current budget.
Larijani who was visiting the Karkheh Dam in the oil-producing Khuzestan province said that he has discussed the matter with the government and some resources have been identified. He did not provide additional details.
Iran is facing a serious economic crisis for more than a year, exacerbated by U.S. sanctions, which were reimposed in 2018. Iranian oil exports have fallen more than 50 percent and the country could hardly afford the additional burden of reconstruction or material assistance to millions of flood victims.
State authorities have yet to announce an overall estimate of damage from floods that have wreaked the country for more than two weeks. Some officials have provided fragmented damage assessment. Agriculture is said to have sustained close to one billion dollar dollars damage.
A more serious issue will be shortages of food as grain and other foods cannot be grown in vast swaths of the country this year.
Hundreds of factories and other workplaces have also sustained damage and tens of thousands of peole will lose their jobs, at least till those businesses reopen their doors.