Iran Protests Intensify as Students and Merchants Rally Over Soaring Living Costs

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President Masoud Pezeshkian told trade unions and market representatives that authorities would work to address their concerns
Current and pre-revolution Iranian banknotes are displayed by a street money exchanger. Photo: AP

Hundreds of students rallied for a third consecutive day at four universities in Tehran, joining shopkeepers who blocked roads and chanted slogans against economic hardship. Some demonstrators voiced support for Reza Shah, the founder of Iran’s former royal dynasty, while social media posts described frustration over inflation and corruption reaching a «breaking point».

In an unusual move, the government said it would seek dialogue with protest organisers.

«We officially recognise the protests,» said government spokesperson Fatemeh Mohajerani, acknowledging pressure on household livelihoods.

President Masoud Pezeshkian told trade unions and market representatives that authorities would work to address their concerns.

The unrest follows sharp economic deterioration. Iran’s rial has lost nearly half its value against the dollar this year, with inflation hitting 42.5% in December, driving up food and essential prices. Reports in state media also point to planned tax increases from March, adding to public anxiety.

The protests are the first major demonstrations since June’s Israeli and U.S. airstrikes on Iranian military and nuclear sites. This week, U.S. president Donald Trump and Israeli prime minister Benjamin Netanyahu renewed warnings over Iran’s nuclear programme, while Russia said President Vladimir Putin discussed the issue with Pezeshkian by phone.

Iran’s economy has struggled since US sanctions were reimposed in 2018, and the latest protests underline the challenge facing authorities as economic strain and geopolitical pressure converge.

Kursiv Uzbekistan also reports that the overnight operation hit two ships carrying weapons and combat vehicles intended for the Southern Transitional Council (STC).

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