Iran sees huge protests over economic crisis and inflation

Tehran: Violent unrest has swept across Iran, marking the country's most significant protests in three years as demonstrations against the failing economy turned deadly. At least seven people have been reported killed amid clashes between security forces and protesters rallying against Supreme Leader Ayatollah Ali Khamenei.

The unrest, initially sparked by shopkeepers demonstrating against a collapsing currency and soaring prices, has escalated rapidly since the New Year. Violence has spread beyond major cities to rural regions, including Lordegan, Kuhdasht, and Isfahan.

According to the Associated Press, citing Iranian media and rights groups, the death toll includes both protesters and security personnel. The Islamic Revolutionary Guard Corps (IRGC) confirmed the death of a member of the Basij volunteer paramilitary unit in Kuhdasht, blaming "armed protesters" for taking advantage of the situation. Conversely, rights group Hengaw identified the deceased Basij member as a defector who was protesting, alleging he was killed by security forces.

Fatalities were also reported in Lordegan, where the Fars news agency stated two people died during clashes. Hengaw reported further detentions in Kermanshah, Khuzestan, and Hamedan provinces.

The demonstrations have taken on a sharp political dimension. In Tehran, university students and crowds have been heard chanting "Death to the dictator" and slogans in support of Reza Pahlavi, the exiled son of the late Shah ousted in 1979.

Writing on X from the United States, Pahlavi voiced support for the movement, stating, "As long as this regime remains in power, the country’s economic situation will continue to deteriorate."

The primary driver of the unrest is Iran's severe economic distress. The Iranian rial lost approximately half its value against the US dollar in 2025, and inflation struck 42.5 per cent in December. The economy remains crippled by Western sanctions and the lingering impact of a 12-day air war with Israel and US airstrikes in June 2025, which strained the nation's military and nuclear infrastructure.

Tehran has adopted a dual strategy of suppression and attempted containment. While deploying security forces to quell the "riots," the government simultaneously declared a holiday on Wednesday, officially due to cold weather, which effectively shut down the country and closed major bazaars.

Government spokesperson Fatemeh Mohajerani announced on Thursday that authorities intend to engage in direct dialogue with trade union and merchant representatives, though specifics on these talks remain vague.

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