Iran Erupts in Protests as Currency Hits Record Low and Prices Soar

Iran’s capital Tehran and various other regions of the country have been rocked for a second consecutive day by protests against the record collapse of the currency and the uncontrolled surge in commodity prices.

Angry traders and shopkeepers took to the streets on Monday, shutting down their businesses, as the Iranian rial fell to a record low against the US dollar.

Over the past several days, the value of the Iranian rial has been declining steadily. Currently, the exchange rate stands at approximately 1.42 million rials per US dollar.

As a result of this unprecedented devaluation of the currency, the prices of food items and daily necessities have gone beyond the reach of ordinary people. Highlighting the severity of the situation, hundreds of people were seen protesting in Tehran’s Sa’di Street and the Shush area near the historic Grand Bazaar. Witnesses said many traders voluntarily closed their shops and urged others to join the protest. Videos circulating on social media showed protesters chanting various anti-government slogans.

Official statistics also clearly reflect Iran’s economic crisis. In December, the country’s inflation rate exceeded 42 percent compared to the same period last year, while food prices alone rose by nearly 72 percent. Analysts say Iran is currently on the brink of hyperinflation. Fresh increases in fuel prices and the government’s plan to raise taxes from next year have further heightened public concern.

At the root of Iran’s ongoing economic turmoil are long-standing international sanctions and recent geopolitical instability. At the time of the 2015 nuclear deal, the exchange rate stood at just 32,000 rials per dollar.

After the United States withdrew from the agreement in 2018, sanctions on Iran were reimposed. In addition, a 12-day direct war with Israel in June and the subsequent reimposition of nuclear-related sanctions by the United Nations have plunged the country’s economy into deep crisis. Although security measures have been tightened in Tehran’s main commercial areas, public anger continues to grow.