Middle East Economic Survey


No 30



Tehran Bazaar Strike Ends With Compromise On Tax Rate

A strike by Iranian merchants in Tehrans Grand Bazaar against higher taxes was called off on 17 July after a compromise was reached with the government. Initially the authorities sought to raise value added tax (VAT) by as much as 70% on certain goods, but later agreed to lower this increase to 15% only. The strike, which went into its second week and spread to other cities,...