Protests in Iran Erupt Amidst Deepening Economic Crisis
The ongoing protests in Iran stem from the country's deepening economic crises, exacerbated by sanctions imposed by the United States. Recent demonstrations began late last month in response to the severe devaluation of the Iranian rial, which has dropped significantly against the US dollar, leading to soaring inflation and widespread discontent.
On December 28, 2025, unrest erupted in Tehran's Grand Bazaar as shopkeepers halted their businesses in protest of rising prices. The protests, which quickly spread to various regions across Iran, have transformed into a broader challenge to the governing authorities, reflecting the people's frustration over years of economic mismanagement and external pressures.
As the rial now trades at over 1.4 million per dollar, a steep decline from previous years, the impact on everyday life has been dire. Food prices have surged by an average of 72 percent compared to the previous year. Economic hardships like these have historically resulted in civil unrest in nations facing political repression and economic distress.
The situation in Iran is further complicated by a long history of sanctions imposed by the US. Initially implemented in 1979 after the storming of the US embassy in Tehran and the subsequent hostage crisis, these measures have evolved over decades. Key sanctions were reintroduced and heightened during President Donald Trump's administration as part of a maximum pressure campaign, impacting not only state revenues but also the lives of ordinary citizens.
For instance, before sanctions were dramatically tightened in 2018, Iran's oil exports amounted to approximately 2.2 million barrels per day. By 2020, this figure plummeted to just over 400,000 barrels per day, costing the government billions in annual revenue. This loss has severely hindered Iran's ability to finance essential public services and support its economy.
The sanctions have severely restricted access to global financial markets, making it tremendously difficult for Iranian companies to engage in international trade. The aviation sector has suffered drastically; unable to import new aircraft since 1979, Iran has recorded a staggering number of plane crashes over the years, leading to significant loss of life.
Despite these struggles, Iranian officials remain defiant, insisting on their sovereignty and labelling the sanctions as acts of aggression against the Iranian people. However, critics argue that these measures have primarily benefited a corrupt elite, as opportunities for illicit trade have proliferated. With the economy adapting to a so-called “sanctions economy,” illicit channels have become a mainstay for many seeking to survive under dire conditions.
Iran’s middle class has faced the brunt of these economic transformations. Research shows that the sanctions have markedly shrunk this demographic, with significant numbers of citizens now classified as living in poverty. The decline in purchasing power has forced many individuals, particularly public servants, to seek alternative, often informal employment, further destabilizing the economic landscape.
The humanitarian impact of sanctions cannot be understated. Medical shortages linked to sanctions restrictions have created crises in healthcare, with essential medicines experiencing price surges of up to 300 percent. The environmental repercussions have also been stark; sanctions have stalled advancements in cleaner energy solutions, leading to rising pollution levels in major cities, which affects public health and children's cognitive abilities.
While the United States portrays its actions as supportive of the Iranian populace, history has shown that such sanctions often result in unintended consequences, exacerbating human suffering rather than alleviating it. As protests continue to unfold amid these challenges, the international community is left to ponder the complexities of sanction policies and their long-term implications for a country struggling for stability and reform.
In Gaza, a Palestinian graffiti artist employs the ruins of shattered buildings to express resilience and hope amid destruction, a poignant reminder of how art can be a powerful form of resistance. Using crumbling walls as canvases, the artist inspires local communities to confront adversity through creative expression. Both situations, though vastly different in context, reflect the struggles of populations confronting the challenges of living under oppressive circumstances, be it through economic sanctions or conflict.
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