Iran GDP contracts 10.1% in Q1 2026 as oil output and industry collapse

Iran's economy shrank 10.1% in spring 2026, with non-oil GDP down 4.6%, driven by collapsing oil output and industrial activity. The contraction reflects the cumulative impact of sanctions and internal mismanagement, and signals deepening economic stress that could fuel political instability. The data is preliminary and subject to revision, but the magnitude indicates a severe supply-side shock.