Khamenei Delivers Nowruz Speech Amid Economic Challenges

Iran's Supreme Leader Ali Khamenei chose not to travel to Mashhad, as he does every year, to deliver his annual New Year speech due to the coincidence of Ramadan and Nowruz.

Instead, he gave his speech during the early hours of the Persian New Year on March 20 at his leadership headquarters in Tehran. 

The Supreme Leader's Nowruz message comes against the backdrop of Iran's deep-seated political, economic, and social crises. 

Observers of Iranian affairs assert that these crises have rendered Iran akin to a powder keg, given the pervasive discontent among its populace.

In his Nowruz address, Khamenei briefly touched upon the recent elections and the record low voter turnout, choosing instead to reiterate last year's economic slogan in length. 

While acknowledging the corruption stemming from economic dynamics, Khamenei remained vague on strategies to address it.

Notably, Khamenei glossed over the election issue, focusing his criticism only on those highlighting societal despondency. 

He skipped his visit to Mashhad, raising questions about his fasting practices given his age and his self-proclaimed authority of taqlid, which makes him qualified to issue Islamic rulings. 

Previously, Khamenei visited Mashhad during Ramadan even when Nowruz coincided with the month.

Last year marked Khamenei's return to addressing crowds in Mashhad after a three-year hiatus due to the COVID-19 pandemic. 

In his address, the leader of the Islamic Republic underscored "the necessity for greater involvement of the populace in the economy," particularly emphasizing the role of the private sector. 

He stressed that achieving the New Year slogan of a "production leap" hinges on implementing popular mobilization facilitated by governmental planning and efforts.

Notably, a video recently showed Khamenei visiting an exhibition, where he rebuffed the notion of the Execution of Imam Khomeini's Order being categorized as a private sector entity.

During his Nowruz speech, he talked about this exhibition, extolling the potential, capacity, and prowess of individuals within the economy without delving into specific examples. 

He talked about finding ways around sanctions and selling extra government assets, which he also discussed last year.

This strategy, he implied, could offer "a loophole for bypassing embargoes through intermediary entities affiliated with the private or semi-state sectors."

While acknowledging the corruption engendered by evading sanctions, Khamenei refrained from offering concrete solutions to curtail such misconduct. 

Whether the government has devised a comprehensive plan to thwart insider exploitation and prevent national plundering remains unclear.

Addressing a pertinent concern, Khamenei acknowledged the understanding among some parties regarding potential corruption and misuse in fostering people's participation in the economy. 

He urged vigilance among authorities "to prevent corruption, discrimination, and illicit practices from taking root."

In Khamenei's lexicon, "the people" allude to influential figures with access to state resources rather than ordinary citizens lacking access to state currency. 

His remarks regarding people's economic engagement reflect an ongoing trend wherein control over oil sales has shifted to entities affiliated with banks and military institutions, interlinked with governmental interests and Iran's current circumstances.

Furthermore, Khamenei reiterated the government's commitment to transferring surplus assets, a policy initiated last year. 

He lamented previous administrations' mishandling of such transfers, resulting in losses for the populace, signaling renewed support for privatization efforts despite opposition branding it as "national looting."

While the government had previously advertised extensively about this initiative, recent activity has waned, leading to speculation about its execution. 

Reports suggest that the upcoming year's budget bill anticipates significant revenue from the production of government assets and the sale of state company shares. 

However, projections indicate that a substantial portion of this revenue may not materialize.

According to analyzed statistics, the combined allocation for these two sectors in the current year's budget stands at approximately 214 trillion tomans ($3.5 billion), with projections that only about 17 percent of this amount will be spent by year-end.

Iranian media reported a significant decrease in the share of production income in the budget bill, down by 44 percent compared to last year's budget. 

Specifically, the budget bill for the new year earmarks 60 trillion tomans ($1 billion) from the proceeds of government asset production.

Khamenei reiterated last year's sentiments regarding the need to curb inflation and foster production growth, acknowledging progress in these areas. However, he underlined that there is still a considerable distance from the desired outcomes.

Despite recognizing the challenging economic climate, Khamenei reaffirmed his support for the administration of Ebrahim Raisi.

During this year's Nowruz speech, Khamenei echoed previous assertions about fostering hope and attributed skepticism about the future to "foreign enemies."

He criticized those who "propagate despair," accusing them of attempting "to undermine the spirit of hope among the youth," a tactic he claimed "the enemy has persistently used without success.

In his speech, Khamenei deemed the issue of Gaza to be "paramount at the moment," citing the Middle Eastern events as "evidence of the necessity of the Resistance Front." 

Simultaneously, the leader of the Islamic Republic reiterated the official stance of the Ministry of Foreign Affairs and other state institutions, asserting that these groups act autonomously and make their own decisions.

"Wherever it is in the region, be it in Yemen, Iraq, Syria, or Lebanon, any measure that is taken by the fighting and brave Resistance forces, the Americans will attribute it to Iran," he said.

"This shows that the US doesn't understand the people of the region and the brave, determined youth. This miscalculation will definitely bring the US to its knees," he added.

He emphasized that the Islamic Republic applauds and supports the resistance as much as possible, saying, "In truth, it is the Resistance groups themselves who make their decisions and take action. And they are in the right."

However, these statements conflict with remarks from figures such as Ramzan Sharif, the spokesperson of the Islamic Revolutionary Guard Corps (IRGC), who attributed Hamas's attack to factors including the killing of Qassem Soleimani and other issues related to the Islamic Republic.