Iran's government is under intense pressure to address the escalating demands of protesters seeking fundamental political change, economic concessions, and a clampdown on corruption. Now in their ninth day, the demonstrations have spread to 27 out of 31 provinces, with a reported death toll of over 35 and more than 1,200 arrests.
The Iranian president's announcement of a switch to a new system of foreign exchange subsidies has sparked both hope and fear among protesters. The current system was plagued by corruption and leakage, leading to inflation reaching 52.6% in December, with food prices set to rise temporarily before the new direct subsidies are implemented.
However, leaders from the Reform Front movement have called for action against those in the security services accused of chasing and firing on protesters inside hospitals, describing the incident as "a disaster". The UN secretary-general António Guterres has also weighed in, urging Iran to respect protesters' right to peaceful assembly, association, and freedom of expression.
As tensions escalate, US President Donald Trump has vowed that if Tehran "violently kills peaceful protesters", the US will come to their rescue. Meanwhile, Israeli Prime Minister Benjamin Netanyahu claims the protests have expanded dramatically, adding that this may be a defining moment for the Iranian people.
Iran's policymakers face a daunting task in finding room for manoeuvre within continued US economic sanctions to tackle corruption, stabilize the currency, reduce inflation, and remove state intervention hindering industrial production. The frequent industrial shut downs caused by electricity and water shortages are also hampering production.
In a recent statement, President Pezeshkian announced the abolition of preferential foreign exchange rates, a complex system fueling corruption and failing to help the poor. He explained that this new system will deliver subsidies directly to consumers, aiming to alleviate rising food prices.
Revisions to the budget being examined by parliament include significant pay rises, cuts in value-added tax, and allocation of funds to curb price rises for basic goods. The government also plans to earmark funds for guaranteed wheat purchases and adjusting pensioners' salaries.
As the situation continues to unfold, it remains to be seen whether Iran's policymakers can find a way to address the protesters' demands while maintaining stability within the country.
The Iranian president's announcement of a switch to a new system of foreign exchange subsidies has sparked both hope and fear among protesters. The current system was plagued by corruption and leakage, leading to inflation reaching 52.6% in December, with food prices set to rise temporarily before the new direct subsidies are implemented.
However, leaders from the Reform Front movement have called for action against those in the security services accused of chasing and firing on protesters inside hospitals, describing the incident as "a disaster". The UN secretary-general António Guterres has also weighed in, urging Iran to respect protesters' right to peaceful assembly, association, and freedom of expression.
As tensions escalate, US President Donald Trump has vowed that if Tehran "violently kills peaceful protesters", the US will come to their rescue. Meanwhile, Israeli Prime Minister Benjamin Netanyahu claims the protests have expanded dramatically, adding that this may be a defining moment for the Iranian people.
Iran's policymakers face a daunting task in finding room for manoeuvre within continued US economic sanctions to tackle corruption, stabilize the currency, reduce inflation, and remove state intervention hindering industrial production. The frequent industrial shut downs caused by electricity and water shortages are also hampering production.
In a recent statement, President Pezeshkian announced the abolition of preferential foreign exchange rates, a complex system fueling corruption and failing to help the poor. He explained that this new system will deliver subsidies directly to consumers, aiming to alleviate rising food prices.
Revisions to the budget being examined by parliament include significant pay rises, cuts in value-added tax, and allocation of funds to curb price rises for basic goods. The government also plans to earmark funds for guaranteed wheat purchases and adjusting pensioners' salaries.
As the situation continues to unfold, it remains to be seen whether Iran's policymakers can find a way to address the protesters' demands while maintaining stability within the country.
. The fact that 35 people have lost their lives and over 1,200 are arrested is just heartbreaking 
. And on top of that, the corruption and economic struggles have been going on for years, it's like the whole system is failing 
.
. The Iranian people deserve better than living with 52.6% inflation and food prices that are just going to get worse before they get better 
.
. It's complicated, right?
. I'm reading all about it on Reddit and Twitter, but hasn't really commented yet 
. The whole thing with the protests, deaths, and arrests... 35+ dead? That's crazy. And now they're talking about a new system of foreign exchange subsidies? I hope that brings some relief to people's pockets 
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. And what about all these economic sanctions from the US? That's gotta make things harder for Iran.
. It's like, I get that change needs to happen, but gotta be done in a way that doesn't hurt too many people at once.
... it's like they're walking on eggshells over there. The Iranian people deserve better, you know? They need real change, not just empty promises from politicians 
. I mean, who would've thought that a new system of foreign exchange subsidies could either be a lifesaver or a recipe for disaster? 
They need to take responsibility for their actions and respect the rights of peaceful protesters. It's like, what happened in those hospitals was a total disaster, and people are still dying because of it 
.
. And Benjamin Netanyahu thinks the protests have become a defining moment for the Iranian people? Like, what's he even talking about? 
. It's time for Iran's policymakers to listen to their demands and find a way to make real change happen 
.
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. But if the right people are leading the charge, it can make all the difference. I mean, the UN secretary-general is already on board with the protesters' rights, and even world leaders like Trump are talking tough about supporting peaceful protests.
. Just think about it: what would happen if people from all walks of life came together in peace to create real change? 
I feel so bad for all those innocent people caught up in the middle of this huge protest movement in Iran... it's like they're just trying to bring about positive change and have their voices heard, but are being met with such heavy resistance from the authorities. 