Iran's Financial Situation during the Prime Minister Ḥājjī Mīrzā Āqāsī

The financial bankruptcy of the Iranian government at the end of the reign of Moḥammad Shah Qajar (1808 – 1848 AD) is an undeniable fact, which its causes are still unclear. Most sources in the Nasserian era, as well as recent researches, have attributed this situation to the financial policies and activities of Ḥājjī Mīrzā Āqāsī, grand vizier of Moḥammad Shah. However, other structural and fundamental factors appear to have been involved in the formation of this crisis: besides the inherited financial problems, the unrest during the early years of the Moḥammad Shah's reign, the war in Herat, famine, and cholera also could be mentioned. The present study, based on official documents, examines the political and economic situation in Iran during this period and analyzes the essential factors related to this crisis. The result of the study shows that not even Ḥājjī Mīrzā Āqāsī's financial policies were not responsible for the bankruptcy, but also his activities, at least in the short term, improved the national economy. The increasing unrest during the final years of Moḥammad Shah's reign, the central government's ineptitude in collecting taxes, the corrupted financial system, the coins transferring from the country,  the increase in assignments of land (tūyūl) as a result of lack of liquidity, the reduce in treasury revenue and the fiscal imbalance were the situation at the end of Mīrzā Āqāsī's time.