Iran Sees Biggest Protests in 3 Years

Iran's largest protests in three years erupted Monday after the country's currency plummeted to a record low against the US dollar and the head of the Central Bank resigned, per the AP. State TV reported the resignation of Mohammad Reza Farzin, while traders and shopkeepers rallied in downtown Tehran as well as in the Shush neighborhood near Tehran's main Grand Bazaar. Merchants at the market played a crucial role in the 1979 Islamic Revolution that ousted the monarchy and brought Islamists to power. The official IRNA news agency confirmed the protests.

Witnesses reported similar rallies in other major cities including Isfahan in central Iran, Shiraz in the south, and Mashhad in the northeast. In some places in Tehran, police fired tear gas to disperse protesters. Monday's protests were the biggest since 2022, when the death of 22-year-old Mahsa Jina Amini in police custody triggered nationwide demonstrations. She was arrested by the country's morality police for allegedly not wearing her hijab properly.

Iran's rial on Sunday plunged to 1.42 million to the dollar. On Monday, it traded at 1.38 million to the dollar. The rapid depreciation is compounding inflationary pressure, pushing up prices of food and other daily necessities and further straining household budgets, a trend that could worsen with a gasoline price change introduced in recent days. According to the state statistics center, the inflation rate in December rose to 42.2% from the same period last year and is 1.8% higher than in November. Food prices rose 72% and health and medical items were up 50% from December last year, according to the statistics center. Many critics see the rate as a sign of approaching hyperinflation.