TEHRAN – President Hassan Rouhani on Tuesday appeared before the Majlis to answer lawmakers’ questions, mostly regarding current economic situation. In four out of five questions, Rouhani failed to satisfy the MPS, and the case is probably going to be referred to the Judiciary.

Lawmakers posed questions on his administration’s handling of economic issues, including a high unemployment rate, slow economic growth and a devaluation of national currency rial as well as smuggling of goods and foreign currency.

The lawmakers were also critical of the continuation of banking sanctions against Tehran despite the 2015 nuclear deal -- under which those restrictions should no longer exit.

Responding to the lawmakers’ questions, Rouhani defended his administration’s performance in two rounds and also called for unity among all forces to tackle the existing shortcomings.

In his remarks, Rouhani said, “What is important for us is to join hands to tackle people’s problem. People do not want you ask me questions and me to deliver digits and numbers; to go on reading these notes. People do not want this. People know the pain, they do better than you and I do. People understand their economic problems day by day and second by second.”

“It is not important whether you or I talk about feeling the fact that people’s lives have been laden with problems. And if we and you are thinking of transitory remedies, people will not have it.”

In another part of his answers, Rouhani referred to America’s mounting pressure on Iran, saying, “We will not let America’s schemes turn out successful… We will not allow a bunch of anti-Iranians who have gathered in the White House today try to conspire against us.”

He added, “The White House should not think it will be happy of the conclusion of today’s session. It should know that it will be utterly saddened by the conclusion of today’s session…. We have no fear either of America or of problems. We will get through problems well.”

First assuming power in 2013, Rouhani's “Prudence and Hope” government has been credited with clinching a historical nuclear accord with world states only two years later.

The agreement, officially known as the Joint Comprehensive Plan of Action (JCPOA), relieved the country of nuclear-related sanctions – including those imposed by the U.S., and was subsequently endorsed in the form of a UN Security Council resolution.

In May, however, the U.S. left the deal in clear breach of its international obligations, and reinstated sanctions against Iran as part of its fresh campaign of economic pressure.

A first round of the bans came in force earlier this month, while the second batch is due to take effect in early November.

The Majlis has on several occasions called Rouhani’s ministers to account.

Already this month, it has removed Labor Minister Ali Rabi’ei and Economy Minister Masoud Karbasian in back-to-back impeachments.

SP/PA</s>LONDON (Reuters) - Iran’s parliament voted on Tuesday to reject President Hassan Rouhani’s explanations for economic hardship after a dramatic grilling on live TV, a sign his pragmatic faction is losing sway to hardline rivals as new U.S. sanctions begin to bite.

The vote in parliament came two days after lawmakers sacked the minister of economy and finance and weeks after they sacked the labor minister, blaming them for the collapse of the rial currency and surging inflation.

Rouhani won two landslide elections on a platform of economic reform and opening Iran up to the outside world, and his pragmatic supporters have a majority in the parliament. But his reputation and political influence have taken a sharp hit as his promised economic gains have failed to materialize.

His highest profile achievement was to negotiate the lifting of financial sanctions on Iran in a 2015 deal with world powers over its nuclear program, but U.S. President Donald Trump pulled out in May and Washington has re-imposed sanctions.

Rouhani spoke out in parliament in defense of his economic record, blaming the country’s woes on the U.S. sanctions rather than his team’s management. But a majority of lawmakers voted to reject his explanation in four out of five areas.

There were conflicting reports about what would follow from the vote: several Iranian news agencies said Rouhani’s case would now be referred to the judiciary, although the spokesman for the parliamentary leadership, Behrouz Nemati, said lawmakers must hold further discussion before that would take place.

The action in parliament is a further sign of how the Trump administration’s decision to re-impose sanctions could affect Iran’s leadership and its relationship with the outside world, potentially for decades to come.

Iran’s rulers have been divided between a pragmatic faction that aims for better international relations, and hardliners who are wary of reforms. Trump’s decision to abandon the nuclear deal was opposed by U.S. allies in Europe, who argued that he undermined Rouhani and strengthened the hands of the hardliners.

While Rouhani and his cabinet run Iran’s day-to-day affairs, ultimate authority lies with the Supreme Leader, 79-year-old Ayatollah Ali Khamenei, in power since 1989. Weakening the pragmatists now could affect the choice of Khamenei’s successor.

For now, Rouhani’s own position appears safe. The judiciary could determine that he broke the law and parliament has the power to impeach him, but experts on Iranian politics say power struggles are more likely to play out indirectly.

“The parliament’s move is politically motivated and indicates that tensions would increase in the Islamic Republic in coming months,” Saeed Laylaz, an Iranian economist, told Reuters by telephone from Tehran.

“Iranian political factions have always used international issues to pursue their domestic gains,” he added.

After the sacking of the two ministers this month, Tasnim news agency reported that 70 lawmakers had signed a motion to impeach a third: the Minister of Industry, Mines and Business.

Rouhani has bowed to pressure and fired the head of the central bank. A deputy central bank governor was arrested by the judiciary on corruption charges in a crackdown that also saw foreign exchange dealers rounded up.

Iranian President Hassan Rouhani speaks during a parliamentary session in Tehran, Iran August 28, 2018. President Official Website/Handout via REUTERS

“U.S. PLOT”

The lawmakers asked Rouhani on Tuesday about five subjects: unemployment, slow economic growth, the fall of the rial, cross-border smuggling, and the lack of access by Iranian banks to global financial services. The parliament found only Rouhani’s answer about banks satisfactory.

“I want to assure the Iranian nation that we will not allow the U.S. plot against the Islamic Republic to succeed,” Rouhani told parliament. “We will not let this bunch of anti-Iranians in the White House be able to plot against us.”

Iran’s official unemployment rate is 12 percent, with youth unemployment as high as 25 percent in a country where 60 percent of the 80 million population is under 30. The rial has lost more than two-thirds of its value in a year.

Iran’s economy has suffered not only from sanctions but also from pervasive corruption and the concentration of its wealth and trade in the hands of big firms controlled by the hardline Revolutionary Guards military force.

Washington imposed a new round of sanctions in August targeting Iran’s trade in gold and other precious metals, its purchases of U.S. dollars and its car industry. Worse is yet to come, with a new round of sanctions to be imposed in November that Washington says aims to cut Iran’s oil exports to zero.

The plunge in the currency and soaring inflation have sparked sporadic demonstrations against profiteering and corruption, with many protesters chanting slogans against both the government and Supreme Leader Khamenei.

Rouhani said such anti-government protests had encouraged Trump to try to provoke more unrest by harming Iran’s economy.

Slideshow (2 Images)

“The protests tempted Trump to withdraw from the nuclear deal,” he said, asking lawmakers to support his cabinet and not add to anti-government sentiment.

Although the economic problems were critical, Rouhani said: “More important than that is that many people have lost their faith in the future of the Islamic Republic and are in doubt about its power.”</s>Pressures mounted on Iranian President Hassan Rouhani on Tuesday as lawmakers summoned him to answer questions on weak economic growth and rising prices, but the parliament was not convinced by his answers and referred the case to the judiciary.

Defending his cabinet’s performance, Rouhani said the economic troubles only began when Washington reimposed sanctions on Tehran, but many lawmakers were not satisfied with the answer according to vote results at the end of the session.

If the majority of lawmakers are not convinced with the president’s answers, they can see it as “a breach of law” and refer the case to the judiciary.

The lawmakers have the power to impeach the president, and vote on his lack of competence, but such a motion is not before parliament at this stage.

On Sunday, Iran’s parliament sacked the minister of economic affairs and finance due to the sharp fall in the rial currency and the deterioration in the economic situation. In early August Iranian lawmakers voted out the minister of labour and last month Rouhani replaced the head of the central bank.

Rouhani, a pragmatist who reduced tension with the West by striking a nuclear deal with world powers in 2015, now himself faces a backlash from hardliners after U.S. President Donald Trump pulled out of the pact in May.

Rouhani said anti-government protests in early January encouraged Trump to withdraw from the nuclear deal as he was hopeful that economic hardship would stir more unrest in Iran.

The demonstrations, which began over economic hardship and high prices and included chants slogans against the government and Supreme Leader Ayatollah Ali Khamenei, spread to more than 80 cities and towns and resulted in 25 deaths.

“The protests tempted Trump to withdraw from the nuclear deal,” he said, asking lawmakers to support his cabinet and not add to anti-government sentiment.

Although the economic problems were critical, Rouhani said: “More important than that is that many people have lost their faith in the future of the Islamic Republic and are in doubt about its power.”

The nuclear deal had lifted sanctions on Tehran in return for curbs on its nuclear programme.

But Washington imposed a new round of sanctions in August targeting Iran’s trade in gold and other precious metals, its purchases of U.S. dollars and its car industry. A new round of sanctions to be imposed in November targets Iranian oil sales.

“I want to assure the Iranian nation that we will not allow the U.S. plot against the Islamic Republic to succeed,” Rouhani said told parliament in a session that was broadcast live on state television.

“We will not let this bunch of anti-Iranians in the White House be able to plot against us.”

The lawmakers asked Rouhani about the government’s failure in tackling the rise of unemployment, slow economic growth, and the fall of the country’s currency rial – as well as revenue-sapping cross-border smuggling operations.

Rouhani said his government had asked the powerful Revolutionary Guards to help them in tackling the smuggling.

Lawmakers also asked why the government had not adopted reforms in the financial sector and foreign exchange market, and sought an explanation why, more than two years after the nuclear deal, Iranian banks still had only limited access to global financial services.

The parliament only found Rouhani’s answer about the banking satisfactory and referred the rest to the hardline judiciary.

For all the latest World News, download Indian Express App</s>Iranian President Hassan Rouhani has appeared before the Parliament to answer a series of questions raised by lawmakers on his administration’s economic performance.

During Tuesday’s parliamentary session, lawmakers posed questions on the Rouhani administration’s handling of the country’s economic issues, including a high unemployment rate, slow economic growth and a devaluation of Iran’s rial currency as well as goods and currency smuggling.

The lawmakers are also critical of the continuation of banking sanctions against Tehran despite the 2015 nuclear deal -- under which those restrictions should no longer exist.

Responding to the lawmakers' questions, Rouhani defended his administration’s performance in two rounds. Based on the results of a vote conducted at the end of the session, the parliamentarians were not convinced with the president's answers on four out of the five questions raised. They only found the president's response to the issue of banking sanctions satisfying.

First assuming power in 2013, President Rouhani's “Prudence and Hope” government has been credited with clinching a historical nuclear accord with world states only two years later.

The agreement, officially known as the Joint Comprehensive Plan of Action (JCPOA), relieved the country of nuclear-related sanctions – including those imposed by the US -- and was subsequently endorsed in the form of a UN Security Council resolution.

In May, however, the US left the deal in clear breach of its international obligations, and reinstated sanctions against Iran as part of its fresh campaign of economic pressure.

A first round of the bans came into force earlier this month, while the second batch is due to take effect in early November.

The government has vowed to try to make good on its pledges of commitment to national prosperity and counter the Washington-led campaign of economic pressure.

Iran's parliament, the Majlis, has on several occasions called Rouhani’s ministers to account.

Already this month, it has removed Labor Minister Ali Rabi’ei, and Minister of Economic Affairs and Finance Masoud Karbasian in back-to-back impeachments.

During his comments to lawmakers, Rouhani touched on Washington’s attempts to pile up economic pressure, assuring the nation that the US will face defeat in its anti-Iran plots.

“We need to tell the Iranian nation that we will not allow the United States' plots to succeed. The nation should be sure that we will not allow a bunch of anti-Iranians, who have gathered at the White House today, to plot against us,” Rouhani said.

Elsewhere, the president defended the nuclear agreement his administration had reached with world states, saying that Tehran had entered the deal to prove the peaceful nature of its nuclear program to the international community.

“In the JCPOA, we made achievements that will never die,” said the president.

Rouhani added that the nuclear deal helped resolve “a great part” of the country’s economic issues by lifting the sanctions.

The deal also closed the case of the so-called possible military dimensions (PMD) of Iran’s nuclear program, paving the way for the removal of military bans on the country, he added.</s>LONDON (Reuters) - Iranian President Hassan Rouhani attended a parliamentary session on Tuesday to answer lawmakers’ questions on his government’s handling of Iran’s economic struggles following a new round of U.S. sanctions on Tehran.

It is the first time parliament has summoned Rouhani, who is under pressure from hardline rivals to change his cabinet after a deterioration in relations with the United States and Iran’s growing economic difficulties.

Lawmakers want to question Rouhani on topics including the rial’s decline, which has lost more than half its value since April, weak economic growth and rising unemployment.</s>Iranian President Hassan Rouhani attended a parliamentary session on Tuesday to answer lawmakers' questions on his government’s handling of Iran’s economic struggles following a new round of U.S. sanctions on Tehran.

LONDON: Iranian President Hassan Rouhani attended a parliamentary session on Tuesday to answer lawmakers' questions on his government’s handling of Iran’s economic struggles following a new round of U.S. sanctions on Tehran.

It is the first time parliament has summoned Rouhani, who is under pressure from hardline rivals to change his cabinet after a deterioration in relations with the United States and Iran’s growing economic difficulties.

Lawmakers want to question Rouhani on topics including the rial’s decline, which has lost more than half its value since April, weak economic growth and rising unemployment.</s>LONDON: Iran's parliament declared its dissatisfaction with President Hassan Rouhani on Tuesday, voting to reject his answers after grilling him over the deteriorating economy.

It was the first time Rouhani had been summoned by parliament in his five years in power, and MPs demanded answers on unemployment, rising prices and the sharp depreciation of the rial, which has lost more than half of its value since April.

The lawmakers, who have already impeached his labour and economy ministers this month, were unimpressed.

ALSO READ | Iran lawsuit against US sanctions opens at UN court

In votes at the end of the session, they expressed dissatisfaction with Rouhani's responses to four of their five questions on the economy, which will now be referred to the judiciary for review.

The economy has been battered by the return of US sanctions following President Donald Trump's decision to withdraw from the landmark nuclear deal between Iran and world powers.

Rouhani trod a difficult line, seeking to acknowledge the problems facing ordinary Iranians without admitting to a full-blown crisis.

"It should not be said we are facing a crisis. There is no crisis. If we say there is, it will become a problem for society and then a threat," he told parliament.

As usual, Rouhani offered no concrete policy proposals, instead saying the answer lay in showing a united front.

"You may talk about employment, foreign currency, recession, smuggling... I think the problem is in people's view of the future," he said.

"The people are not afraid of the United States, they are afraid of our disagreements. If the people see we are united, they will realise the problems will be resolved."

But Rouhani's government -- which staked everything on its bid to attract foreign investment through a more "moderate" approach to relations with the West -- has been badly weakened by the return of sanctions.

Most foreign firms have abandoned investment projects in Iran, and the next phase of renewed US sanctions in November will hit the crucial oil sector.

"We will not allow a bunch of anti-Iranians who have gathered in the White House to conspire against us," Rouhani vowed.

But most Iranians blame the government for failing to capitalise on the nuclear deal.

"You created a palace of wishes called the JCPOA," said Mojtaba Zolnour, an MP for the religious centre of Qom, using the technical name for the nuclear deal.

"With one kick from Trump, this palace was demolished, and you didn't have an alternative," he said.

Despite the impeachment of two of his ministers, Rouhani himself is protected by supreme leader Ayatollah Ali Khamenei, who said recently that removing the president would "play into the hands of the enemy".

That may explain the soft line taken by several speakers, with one conservative MP, Hossein Naghavi-Hosseini, emphasising: "We will stand by your government for the sake of protecting the system of the Islamic republic."

But when it came to the votes, lawmakers accepted only one of Rouhani's answers -- related to international banking sanctions, which they agreed were beyond his government's control.

Even after the nuclear deal, major foreign banks continued to refuse to work with Iran, fearing the lack of transparency in its financial sector could lead them into legal trouble.

ALSO READ | Iran's Hassan Rouhani says negotiations with sanctions 'makes no sense'

The only previous time a president has been questioned was in 2012 when parliament summoned Rouhani's controversial predecessor Mahmoud Ahmadinejad, whose erratic, populist style had alienated him from the establishment and further damaged Iran's international standing.

It was after that session that MPs decided they should vote on the president's answers, deputy speaker Ali Motahari explained to ISNA news agency this week, because Ahmadinejad's responses were so "strange" and unconvincing.

Rouhani has even lost support among reformists who had supported him as the best option after their own leaders were either locked up or barred from standing for office.

"What have we done with this nation? We made them miserable and wretched," said leading reformist MP Elias Hazrati as he voted in favour of impeaching economy minister Masoud Karbasian on Sunday.</s>LONDON (Reuters) - Pressures mounted on Iranian President Hassan Rouhani on Tuesday as lawmakers summoned him to answer questions on weak economic growth and rising prices, but the parliament was not convinced with his answers and referred the case to the judiciary.

Defending his cabinet’s performance, Rouhani said the economic troubles only began when Washington reimposed sanctions on Tehran, but many lawmakers did not find that answer satisfying according to vote results at the end of the session reported by Tasnim news agency.

Rouhani, a pragmatist who reduced tension with the West by striking a nuclear deal with world powers in 2015, now faces a backlash from hardliners over Washington’s pullout from the pact.</s>Iran's parliament declared its dissatisfaction with President Hassan Rouhani on Tuesday, voting to reject his answers after grilling him over the deteriorating economy.

It was the first time Rouhani had been summoned by parliament in his five years in power, and MPs demanded answers on unemployment, rising prices and the sharp depreciation of the rial, which has lost more than half of its value since April.

The lawmakers, who have already impeached his labor and economy ministers this month, were unimpressed.

In votes at the end of the session, they expressed dissatisfaction with Rouhani's responses to four of their five questions on the economy.

In the coming days, they will decide whether the government's failures on these issues amount to a breach of legal obligations and should be referred to the judiciary.

The economy has been battered by the return of U.S. sanctions following President Donald Trump's decision to withdraw from the landmark nuclear deal between Iran and world powers.

Rouhani trod a difficult line, seeking to acknowledge the problems facing ordinary Iranians without admitting to a full-blown crisis.

"It should not be said we are facing a crisis. There is no crisis. If we say there is, it will become a problem for society and then a threat," he told parliament.

As usual, Rouhani offered no concrete policy proposals, instead saying the answer lay in showing a united front.

"You may talk about employment, foreign currency, recession, smuggling... I think the problem is in people's view of the future," he said.

"The people are not afraid of the United States, they are afraid of our disagreements. If the people see we are united, they will realize the problems will be resolved."

But Rouhani's government -- which staked everything on its bid to attract foreign investment through a more "moderate" approach to relations with the West -- has been badly weakened by the return of sanctions.

Most foreign firms have abandoned investment projects in Iran, and the next phase of renewed U.S. sanctions in November will hit the crucial oil sector.

"We will not allow a bunch of anti-Iranians who have gathered in the White House to conspire against us," Rouhani vowed.

But most Iranians blame the government for failing to capitalize on the nuclear deal.

"You created a palace of wishes called the JCPOA," said Mojtaba Zolnour, an MP for the religious center of Qom, using the technical name for the nuclear deal.

"With one kick from Trump, this palace was demolished, and you didn't have an alternative," he said.

Despite the impeachment of two of his ministers, Rouhani himself is protected by supreme leader Ayatollah Ali Khamenei, who said recently that removing the president would "play into the hands of the enemy".

That may explain the soft line taken by several speakers, with one conservative MP, Hossein Naghavi-Hosseini, emphasizing: "We will stand by your government for the sake of protecting the system of the Islamic republic."

But when it came to the votes, lawmakers accepted only one of Rouhani's answers -- related to international banking sanctions, which they agreed were beyond his government's control.

Rouhani has even lost support among reformists who had backed him as the best option after their own leaders were either locked up or barred from standing for office.

Leading reformist Mostafa Tajzadeh, who has spent several years in jail for criticizing the system, said Rouhani's parliament appearance was a missed opportunity.

"By explaining the reasons for the country's problems, Rouhani could have taken a big step towards increasing public awareness," he wrote on Twitter.

"Parliament's negative votes shows that failing to disclose the facts will only embolden our rivals and disappoint the people."

The only previous time a president has been questioned was in 2012 when parliament summoned Rouhani's controversial predecessor Mahmoud Ahmadinejad, whose erratic, populist style had alienated him from the establishment and further damaged Iran's international standing.

It was after that session that MPs decided they should vote on the president's answers, deputy speaker Ali Motahari explained to ISNA news agency this week, because Ahmadinejad's responses were so "strange" and unconvincing.</s>Iran's parliament declared its dissatisfaction with President Hassan Rouhani on Tuesday, voting to reject his answers after grilling him over the deteriorating economy.

It was the first time Rouhani had been summoned by parliament in his five years in power, and MPs demanded answers on unemployment, rising prices and the sharp depreciation of the rial, which has lost more than half of its value since April.

The lawmakers, who have already impeached his labour and economy ministers this month, were unimpressed.

In votes at the end of the session, they expressed dissatisfaction with Rouhani's responses to four of their five questions on the economy, which will now be referred to the judiciary for review.

Rouhani trod a difficult line, seeking to acknowledge the problems facing ordinary Iranians without admitting to a full-blown crisis.

"It should not be said we are facing a crisis. There is no crisis. If we say there is, it will become a problem for society and then a threat," he told parliament.

As usual, Rouhani offered no concrete policy proposals, instead saying the answer lay in showing a united front.

"You may talk about employment, foreign currency, recession, smuggling... I think the problem is in people's view of the future," he said.

"The people are not afraid of the United States, they are afraid of our disagreements. If the people see we are united, they will realise the problems will be resolved."

But Rouhani's government -- which pushed a "moderate" line of improved relations with the West -- has been badly weakened by Washington's decision in May to withdraw from a landmark 2015 nuclear deal between Iran and major powers and reimpose sanctions.

Most foreign firms have abandoned investment projects in Iran, and the next phase of renewed US sanctions in November will hit the crucial oil sector.

Rouhani sought to shift the blame to the administration of US President Donald Trump, saying: "We will not allow a bunch of anti-Iranians who have gathered in the White House to conspire against us."

But most Iranians blame their own government for failing to capitalise on the nuclear deal while it had the chance, and for raising people's expectations without delivering results.

"You created a palace of wishes called the JCPOA," said Mojtaba Zolnour, an MP for the shrine city of Qom, using the technical name for the nuclear deal.

"With one kick from Trump, this palace was demolished, and you didn't have an alternative," he said.

Despite the impeachment of two of his ministers, Rouhani himself is protected by supreme leader Ayatollah Ali Khamenei, who said recently that removing the president would "play into the hands of the enemy".

That may explain the soft line taken by several speakers, with one conservative MP, Hossein Naghavi-Hosseini, emphasising: "We will stand by your government for the sake of protecting the system of the Islamic republic."

But when it came to the votes, lawmakers accepted only one of Rouhani's answers -- related to international banking sanctions, which they agreed were beyond his government's control.

Even after the nuclear deal, major foreign banks continued to refuse to work with Iran, fearing the lack of transparency in its financial sector could lead them into legal trouble.

Rouhani has even lost support among reformists who had supported him as the best option after their own leaders were either locked up or barred from standing for office.

"What have we done with this nation? We made them miserable and wretched," said leading reformist MP Elias Hazrati as he voted in favour of impeaching economy minister Masoud Karbasian on Sunday.
The Parliament of Iran questions President Hassan Rouhani on weak economic growth, banking restrictions and rising prices. It is not satisfied by four of his five answers and refers the case to the judiciary. He chiefly blames the United States' sanctions, and vows the "plot" will not succeed.