Petrol prices in Iran have leapt by up to 75 percent, after state subsidies were cut, in a risky move that President Hassan Rouhani hopes will improve an economy battered by Western sanctions. The price hikes, which began at midnight on Thursday, will test Rouhani's support among a population fed up with the high inflation that he has pledged to reduce, as he pursues talks with world powers aimed at ending sanctions imposed over Iran's nuclear programme

Massive cuts to Iran's generous subsidy regime could lead to significant popular unrest in the country in the coming weeks and months. The cuts, which coincide with the first day of the Iranian calendar, are necessary in order for the government to close the huge revenue gap brought on by the ratcheting up of international sanctions by the West. The potential unrest could push the Mullahs to work faster to resolve its nuclear issues with the West and finally focus on improving economic opportunity for their downtrodden citizens.