Economy

Iran internet shutdown costs economy over $20 million daily

Internet restrictions in Iran following anti-government protests are causing over $20 million in daily economic losses, primarily hitting digital and IT sectors.

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Jan 26, 2026 - 00:51

Iran internet shutdown costs economy over $20 million daily

By Ahmet Taş | Wise News Press

TEHRAN, IRAN — Ongoing internet restrictions implemented by the Iranian government in response to anti-government protests are costing the national economy more than $20 million every day.

The Computer Engineers Association, a leading technology industry body in Iran, reported that the limitations on internet access have dealt a severe blow to the country's fiscal stability. Ali Hakim-Javadi, President of the association, stated that the digital and IT service sectors have been the hardest hit since the restrictions began on January 8. According to industry data, businesses dependent on continuous connectivity are experiencing drastic drops in transaction volumes, with some being forced to halt operations entirely.

Direct Economic Impact Exceeds $20 Million

The association's calculations indicate that the daily direct financial loss stands at approximately $20.6 million. However, experts warn that the true cost to the nation is likely far higher. Hakim-Javadi noted that these figures only account for "direct" losses, excluding the broader systemic damage caused by the prolonged outages.

Long-term Structural Risks

Beyond the immediate daily bill, industry leaders are raising alarms regarding the long-term health of Iran's technology ecosystem. The instability is reportedly driving several critical negative trends:

Investor Confidence: Erosion of trust among local and international investors.
Capital Flight: Significant movement of assets out of the country due to operational uncertainty.
Brain Drain: Professionals in the IT and engineering sectors seeking opportunities abroad.
International Standing: A steady decline in Iran's global technology and innovation rankings.

Hakim-Javadi cautioned that while the daily $20.6 million loss is staggering, the cumulative impact of capital flight and the loss of skilled labor could prove even more damaging to the country's future economic resilience.