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Iran's gross domestic product shrank by 10.1% year-on-year in the quarter spanning late March to late June, the country's Statistical Center reported Sunday, marking a sharp economic toll from the ongoing conflict with the United States and Israel.
The figure covers what is known in the Iranian calendar as the first quarter of the year and reflects the disruption caused by a war that began in late February, when US and Israeli strikes killed Iran's supreme leader along with senior military officials, opening a broad offensive against the Islamic republic.
In response to the strikes, Tehran moved to block the Strait of Hormuz, a key corridor for global oil shipments. The move sent oil prices surging worldwide as the conflict widened across the Middle East, adding pressure to an economy already under strain.
Even before the fighting began, Iran's economy had been grappling with hyperinflation and a steadily weakening currency, conditions largely attributed to years of international economic sanctions. The wartime contraction has layered fresh disruption onto those chronic vulnerabilities, according to the government data.
The Statistical Center of Iran's figures represent one of the clearest official measures yet of the economic damage inflicted since the war's outbreak, though the center did not immediately detail which sectors bore the heaviest losses.
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