Tehran protests: Pezeshkian orders listening to traders' demands amid currency collapse
In a move reflecting a swift response to escalating economic tensions, Iranian President Masoud Pezeshkian called for listening to the "legitimate demands" of protesters, according to state media reports late Monday. This presidential directive came two days after shop owners in the capital, Tehran, closed their stores in a clear protest against the deteriorating economic situation and the soaring cost of living.
Presidential directives to open channels of dialogue
President Pezeshkian stated on his X platform account that he had issued direct instructions to the Interior Minister to meet with representatives of the protesters and listen seriously to their demands. The Iranian news agency IRNA quoted the president as saying that the goal is to enable the government to act responsibly and utilize all its powers to resolve the outstanding issues. He added, emphasizing, "The people's livelihood is our daily concern, and we have fundamental measures underway to reform the monetary and banking system, with preserving the purchasing power of citizens being our top priority.".
Historic collapse of the Iranian rial
These protests come against the backdrop of the local currency hitting record lows; the price of one dollar on the unofficial black market reached more than 1.4 million rials on Sunday, compared to 820,000 rials just a year ago. This sharp decline is directly leading to hyperinflation and daily price fluctuations that make it difficult for citizens and merchants to plan their lives or businesses, causing the prices of basic commodities to skyrocket overnight.
The significance and historical dimensions of the "Bazaar" strike
The closure of shops in Tehran cannot be viewed as a mere economic event. The bazaar (traditional market) has long played a pivotal role in the political and social transformations of modern Iranian history. Historically, bazaar merchants exerted significant influence during the 1979 revolution, and their actions serve as a sensitive indicator of public discontent. Therefore, President Pezeshkian's swift response reflects the government's awareness of the dangers of losing the support of this influential segment of society and an attempt to contain the anger before it spreads to other sectors.
Economic context and international pressures
The Iranian economy faces deep structural challenges that extend far beyond mere market fluctuations. In addition to ongoing international sanctions that restrict the country's access to the global financial system and its ability to export oil freely, the country also struggles with managing its monetary policy. This crisis presents the current government with a difficult test: balancing the reformist promises made by Pezeshkian during his election campaign with the complex economic realities that demand radical solutions, which may take considerable time to bear fruit. This makes dialogue with the public an urgent necessity to ensure domestic stability.
