In pictures: Iranians feel the bite of sanctions inside Tehran’s Grand Bazaar

Iranians walk pass by the main entrance. Amid the bustle of preparation for the two-week holiday, known in Persian as Nowruz, many are fearful of their financial future as they struggle with the country’s deepening economic woes.

An Iranian woman looks at T-shirts inside a shop. High prices for basic products have given the traditional optimism surrounding Nowruz, which falls on March 20, a tinge of anxiety.

The economic difficulties have been caused by sanctions imposed by the international community over Iran’s controversial nuclear programme.

While the election of president Hassan Rouhani may have brought about a less hostile political climate, it is the state of the economy that is the most important issue for Iranians.

Despite the current negotiations between Iran and world powers to reach a final deal on the programme, the national currency, the rial, has lost 50 per cent of its value since 2012.

A weak rial has been hurting Iranians’ ability to buy basic products.

Iran’s official rate of inflation stands at 37 per cent. But experts in Tehran believe it is much higher perhaps as much as 40 per cent.

To offset some of the economic pressure and help families prepare for the New Year, Mr Rouhani’s government organised 400 exhibitions of discounted goods currently taking place throughout the country, with four in Tehran.

The prices of food sold at the exhibitions were lowered with the aim of controlling Iran’s rampant inflation.

Also available was a wide range of domestic products from home appliances and clothing at about 20 per cent less than regular prices, said Ali Fazeli, head of an umbrella group of unions and producers associations which helped organise the 10-day exhibitions in the capital.

The prices of food sold at the exhibitions were lowered with the aim of controlling Iran’s rampant inflation.

For Ms Riazi, who was shopping at one of the exhibitions in central Tehran, the slightly reduced prices were welcome. “The prices are a bit cheaper than regular shops, not so much, but it is helpful to families,” she said. “I only came to buy new clothes for my children.”

The government is ending aid to Iranians who are not considered to need the assistance, in an effort to limit spending in the coming year.

The assistance began under Mr Rouhani’s predecessor, Mahmoud Ahmadinejad, who in 2010 initiated a five-year plan, phasing out energy and food subsidies and replacing them with cash payments to make up for rising costs.

On Sunday, Mr Rouhani asked Iranians who do not need the monthly Dh55 per person payout not to register for the coming year.

Amid the bustle of preparation for the two-week holiday, known in Persian as Nowruz, many are fearful of their financial future as they struggle with the country’s deepening economic woes. Photos by Maryam Rahmanian for The National