Iran: Scrutiny of Household Income, Spending in Fiscal 2019-20

EghtesadOnline: The average income of households living in urban areas of Tehran stood at 813.17 million rials ($2,951) in the last fiscal year (March 2019-20), the highest among all Iranian provinces.

News ID: ۷۵۱۴۸۴

15 November 2020

Those living in Kerman Province’s urban areas earned 340.88 million rials ($1,237), the lowest compared with other provinces.

Income was the highest for the 10th decile of the population living in urban areas with 1.43 billion rials ($5,190) and lowest for the first decile with 131.05 million rials ($475).

According to a report by the Ministry of Cooperatives, Labor and Social Welfare, spending by households living in Tehran Province’s urban areas was also the highest among all provinces with 727.17 million rials ($2,644) and lowest by families living in Kerman with 263.2 million rials ($956).

Spending was the highest for the 10th decile of the population living in urban areas with 1.14 billion rials ($4,137) and lowest for the first decile with 163.44 million rials ($593).

The average annual expenses of an Iranian urban household increased by 20.6% last year (March 2019-20) to exceed 474 million rials ($1,720) compared with 393 million rials ($1,426) of the preceding year. Their annual income, on the other hand, grew by 24% from 434.9 million rials ($1,578) to 541 million rials ($1,963).

In rural areas, the average income of households in Alborz Province was the highest with 461.48 million rials ($1,675) and lowest for those living in Sistan-Baluchestan with 128.1 million rials ($465) among all provinces.

Income was highest for the 10th decile of the population living in rural areas with 818.93 million rials ($2,972) and lowest for the first decile with 49.26 million rials ($179).

Average spending was the highest by households living in rural areas of Alborz with 417.71 million rials ($1,516) and lowest for Sistan-Baluchestan with 146.43 million rials ($532).

Spending was the highest for the 10th decile of the population living in rural areas with 552.43 million rials ($2,005) and lowest for the first decile with 79.18 million rials ($287).

The average annual expenses of an Iranian rural household increased by 21.7% last year to exceed 261 million rials ($947) compared with 214 million rials ($776) of the preceding year. Their annual income, on the other hand, grew by 27% from 233.11 million rials ($846) to 297.02 million rials ($1,078).

The average goods and services Consumer Price Index in the 12-month period ending March 19, which marks the final day of the fiscal 2019-20, increased by 34.8% compared with the corresponding period of the year before, according to the Statistical Center of Iran.

Ilam Province registered the highest annual inflation with 42% while Fars Province posted the lowest of 30.7%.

The average CPI in urban areas for the 12-month period ending March 19 increased by 34.4% compared with last year’s corresponding period. Households living in urban areas of Ilam saw the highest annual inflation (41.2%) while those of Fars witnessed the lowest annual inflation (29.1%) among all Iranian provinces.

The goods and services CPI of rural areas in the 12-month period ending March 19 increased by 37.3% compared with last year’s corresponding period.

Ilam registered the highest 12-month inflation in rural areas (45.5%) while West Azarbaijan posted the lowest annual inflation (32.8%).

The average goods and services Consumer Price Index in the 12-month period ending March 19 increased by 33.9% for the first decile (those with the lowest income) while it grew 36.6% for the 10th decile (those with the highest income).

Average inflation rates grew by 34.6% for the second and third deciles compared with last year’s corresponding period. The annual inflation rate for the fourth and sixth deciles increased by 34.7%, for the fifth decile 34.8%, for seventh decile 35%, for eighth 35.2% and for the ninth decile 35.6%.

Income deciles are groupings that result from ranking either all households or all persons in the population in the ascending order vis-a-vis income, and then dividing the population into 10 groups, each comprising approximately 10% of the estimated population.