Updated

Iran's economy continues to show signs of strain amid US sanctions and the aftermath of war, with the IMF forecasting a 7.6% contraction in 2026 — a worse outlook than regional rivals Saudi Arabia and the UAE. Iranians report months-long delays in unemployment benefit payments, wheat farmers face a cash crunch for autumn planting due to lagging government payments and a sliding rial, and Iran's stock market has seen a puzzling rally even as foreign-currency inflows dwindle and energy shortages persist. Despite this, Central Bank Governor Abdolnaser Hemmati rejected claims of economic collapse at an IMF meeting, and Parliament Speaker Ghalibaf mocked US Treasury Secretary Scott Bessent for repeatedly predicting Iran's economic collapse. An Iran International Instagram poll found nearly three-quarters of respondents supported continued US pressure on Iran, though thousands of comments revealed deep divisions over the economic toll and uncertainty about whether sanctions could ultimately drive political change.