Iran oil minister resigns amid economic crisis and sanctions pressure

Iran’s Oil Minister Mohsen Paknejad stepped down on Sunday, marking another challenge for the country’s struggling economy. His resignation comes as Tehran faces increasing economic pressure from Washington, which has tightened sanctions and curbed Iran’s oil exports. Paknejad, who took office in August 2024, submitted his resignation earlier but was only officially accepted on Sunday, according to Seyyed Mehdi Tabatabaei, deputy director of communications and information at the president’s office.

Tabatabaei stated that Paknejad cited personal reasons for his departure. Shortly after the resignation was announced, President Masoud Pezeshkian appointed Hamid Bovard, the managing director of the National Iranian Oil Company (NIOC), as the caretaker oil minister. The move highlights the ongoing turmoil within Iran’s leadership as economic conditions worsen.

The resignation follows a wave of protests by workers, further underscoring the deepening economic crisis. The combination of sanctions, falling oil revenues, and internal unrest continues to strain Iran’s government and its ability to manage the country’s financial challenges.