Violent protests in Iran amid economic crisis, 7 killed

January 2, 2026

Iran: At least seven people have been killed in clashes between security forces and protesters during ongoing protests in Iran. These protests began in the capital, Tehran, on Sunday and later spread to other parts of the country. On Tuesday, students from at least 10 universities also joined the protests.

The deepening economic crisis in the country has worsened the situation. Iran’s inflation rate reached 42.5 percent in December. Angered by the sharp currency devaluation and rising prices of essential goods, traders and shopkeepers took to the streets and closed major markets.

Students and traders protest, markets come to a standstill

Traders, shopkeepers, and university students have been protesting for several days, disrupting normal life in many cities. On Wednesday, the government declared a public holiday, citing the cold, which brought work to a standstill across much of the country.

According to Iran’s Fars news agency, stone-throwing by protesters caused “serious damage” to several buildings. Police have arrested several individuals, who are being described as the “main instigators.”

Saeed Pourali, the deputy governor of Lorestan province, said the protests were a result of “economic pressure, inflation, and currency fluctuations” and an expression of people’s concerns about their livelihoods.

Currency Crisis, Political Discontent, and the Government’s Response

Although the protests were primarily about economic issues, slogans against Iran’s religious system were also raised in several locations. A video viral on social media showing a man sitting calmly in front of motorized police on a Tehran street is being compared to China’s 1989 Tiananmen Square Movement.

Iran’s economy has long been under pressure from US and Western sanctions related to its nuclear program. The 12-day conflict with Israel in June also put additional strain on government finances.

President Massoud Peshezkian has expressed his willingness to engage with protesters, but acknowledged that his options are limited. He said the situation has been further complicated by the sharp decline in the Iranian currency, the rial, where one US dollar is worth approximately 1.4 million rials.

Iran’s Prosecutor General said on Wednesday that peaceful economic protests are legitimate, but that “stern action” will be taken against anyone attempting to incite instability. Earlier, Peshezkian warned that if issues related to people’s livelihoods are not resolved, there will be serious consequences.