Tehran, Iran — Outrage over Iran’s economic turmoil intensified over recent weeks, erupting into widespread protests challenging the clerical leadership that has ruled since the 1979 Islamic Revolution. Beginning December 28, 2025, demonstrations initially sparked by soaring inflation have since broadened to express discontent with the country’s political system.
The unrest began as shopkeepers in Tehran’s Grand Bazaar protested against skyrocketing prices and the plummeting value of the rial, which has spiraled to over 1.4 million to one U.S. dollar. Just a year earlier, the currency traded at about 700,000 per dollar, reflecting a staggering decline. The economic downfall has led to steep inflation, with food prices soaring an average of 72 percent compared to the previous year and overall annual inflation hovering around 40 percent.
Multiple factors contribute to Iran’s economic struggles. A brief but damaging conflict with Israel in June 2025 resulted in significant infrastructure damage. Furthermore, renewed U.N. sanctions imposed in September 2025, targeting Iran’s nuclear program, have exacerbated the economic crisis. In December, the government adjusted its fuel subsidy system, raising the price of formerly cheap gasoline and signaling future increases, adding pressure on already strained households.
“Prices of dairy products have increased sixfold,” said Majid Ebrahimi, a taxi driver, while lamenting the rising costs of daily necessities. Protesters initially focused on economic woes but soon shifted their chants toward opposition to the ruling clerics. Many are rallying behind Reza Pahlavi, the exiled son of Iran’s last shah, advocating for a referendum on the future government structure of the country.
Maryam Alemzadeh, an Oxford University associate professor, noted the emergence of chants supporting Pahlavi amid the protests, indicating a significant shift in sentiment. The movement also revives memories of Iran’s political history, including the 1953 coup that toppled Prime Minister Mohammad Mosaddegh after nationalizing the oil industry, paving the way for decades of autocratic rule.
As protests spread from Tehran to provincial cities like Hafshejan and Junqan, reports indicate that more than 100 security personnel have lost their lives, but the actual death toll of civilians remains disputed. Activists warn that the extent of casualties could be much higher, especially in light of an ongoing internet blackout. Since the protests began, the government has restricted online access, hampering communication and news dissemination.
Iran’s Foreign Minister, Abbas Araghchi, claimed the government was preparing to restore internet access while alleging that foreign actors inflamed the protests to justify potential military intervention by the United States. President Donald Trump has made veiled threats of military action if violence escalates during the demonstrations.
Experts caution that unless the Iranian government responds effectively to public grievances, this uprising may escalate, given the unprecedented brutality of the response thus far. Alemzadeh emphasized that many citizens have reached a tipping point, enduring economic deprivation and restrictions on freedom for decades.
“The grievances will not be silenced this time,” Alemzadeh warned, predicting that protests could reignite rapidly if the current conditions are not addressed. Acknowledging the potential for internal conflict among political elites or intervention from foreign powers, she articulated a grim outlook, suggesting that turmoil is likely to persist until a substantial shift occurs within the Iranian political landscape.