Former IRGC chief appointed Iran's VP for economic affairs

TEHRAN, Iran

In yet another sign that economic policies of the new government in Tehran would be more hardline, a veteran military official was on Wednesday appointed Iran's vice-president for economic affairs.

Iran's newly-elected President Ebrahim Raeisi issued a decree to appoint former Iranian Revolutionary Guards Corps (IRGC) chief Mohsen Rezaei as his deputy, tasked with designing and executing the new conservative administration's economic policies.

Rezaei, one of the seven candidates that ran for Iran's presidency in June and later withdrew in favor of the eventual winner Raeisi, will also take up the roles of the Secretary of the Supreme Economic Coordination Council (SECC) and the new administration's core economic team.

SECC was formed in 2018 on the orders of Iran's Supreme Leader Ali Khamenei to devise ways to counter the US sanctions and their fallout, following the withdrawal of Washington from the 2015 nuclear deal and the reinstatement of sanctions.

Rezaie, who served as the secretary of the powerful constitutional body Expediency Council for more than three decades, is a seasoned conservative politician.

His appointment comes at a time when the sanctions-battered country is grappling with a dire economic situation and the raging COVID-19 crisis that has taken heavy toll on people's lives and livelihood.

On Wednesday, Iran's currency rial touched a record low in one year, with US dollar trading at 280,000 rials in Tehran’s open market, according to website Bonbast.com that tracks the free market.

Iran's annual inflation rate has also seen a steep surge, reaching 45.2 percent in July-August period, according to the Statistical Center of Iran (SCI), the highest inflation rate in more than two decades.

Nuke stalemate

The indirect talks between Tehran and Washington to revive the 2015 nuclear deal and lift the sanctions have been underway since April in Vienna, but the efforts have failed to produce any breakthrough.

The Raeisi administration, which is still awaiting the approval of its cabinet by the parliament, is likely to adopt a tough line on Vienna talks, even though the new president has expressed willingness for "meaningful and result oriented negotiations".

The new cabinet appointees, including Rezaei, have led to speculation that the new administration will adopt a confrontational approach, unlike the outgoing reformist administration of Hassan Rouhani.

Rezaei, who ended up with the second highest votes in the June election, had during the presidential debates blasted the outgoing administration for its "disastrous" economic record.

Among the key promises he made was stabilizing the Iranian currency rial and making it "the strongest currency in the region — after the dollar and euro".

He also vowed to streamline coordination between the stock exchange, insurance firms and banks, terming them "hearts of economy".
Rezaei had acknowledged that the Iranian people were facing the "hardest time of their lives."