Government and institution measures in response to COVID-19.

Government and institution measures in response to COVID-19.

Return to homepage  |  Last updated: 29 April, 2020

General Information

On March 25, President Rouhani announced a partial lockdown, closing businesses and government offices for two weeks and banning travel between different cities. But, concerned about the economic damage from the outbreak, the government recently ordered a step-by-step reopening of businesses that it considers to be low or average risk in terms of spreading the virus.

Tax measures – Direct and Indirect

(e.g. payment deferrals, rate reductions…)

Click here to see a comprehensive summary of jurisdictional tax measures and government reliefs in response to COVID-19.

Employment-related measures

(e.g. state compensation schemes, training…)

  • Use of the unemployment insurance fund.

Economic stimulus measures

(e.g. loans, moratorium on debt repayments…)

Key measures include

  • Moratorium on tax payments due to the government for a period of three months (7 percent of GDP); 
  • Subsidized loans for affected businesses and vulnerable households (4.4 percent of GDP); 
  • Extra funding for the health sector (2 percent of GDP); 
  • Cash transfers to vulnerable households (0.3 percent of GDP) and; 
  • Support to the unemployment insurance fund (0.3 percent of GDP). Sukuk bonds and the National Development Fund will provide part of the financing.

Low-interest loans for businesses that have been affected and not fired any laborer.

  • 75 trillion tomans of loans with a preferential rate of 12 per cent, with the return period of 2 years for the service and production businesses
  • about 6 trillion tomans of credit, which will be allocated according to the decisions made in the previous session

Other measures and sources

Main sources of information