Azernews.Az

The administration of Iranian president-elect Hassan Rohani will revise the system for the cash subsidy handouts, Mehr news agency quoted Rohani's economic advisor Mohammad-Baqer Nobakht as saying.

According to the law, the government is allowed to distribute 50 percent of the revenues gained through removing subsidies among families, he said, adding that currently every Iranian family, both low-income or high-income, receive the same amount of cash subsidy.

"Wealthy families do not need to receive cash subsidies. They require to be supported in investment plans. So, we should re-establish justice," Nobakht said.

According to official statistics, more than 3.5 million people are unemployed in the country, some of them with zero income. Unfortunately, they receive as much cash subsidy as high-income families.

The administration of Mr. Rohani will make every effort to reduce the effects of economic sanctions, Nobakht said.

The subsidy reform plan pays out 455,000 rials (about $37) to Iranians while eliminating subsidies for fuels and some commodities.

Rohani has said the current state of affairs in the economy is the outcome of extremist views of economic, cultural, social and political issues.

He said helping resolve all outstanding economic problems was his motive for entering the presidential race.

He argued that instead of adopting extremist approaches on domestic and foreign fronts, the next administration needs to forge some kind of alliance with all branches of the government as well as the elite.

A few days ago Rohani won the presidential elections in Iran, gathering slightly over 50 percent of votes. He will take over the duties from president Mahmoud Ahmadinejad.