According to Reuters, Iran’s government said on Tuesday, December 30, that it would seek dialogue with protest leaders following demonstrations in Tehran and other cities. The protests, held on Sunday and Monday, were driven by the Iranian rial plunging to a record low of around 1,390,000 to the U.S. dollar, which has accelerated inflation. President Masoud Pezeshkian stated he asked the interior minister to listen to “legitimate demands,” while government spokeswoman Fatemeh Mohajerani said a dialogue mechanism would be established. This comes after the central bank chief resigned, and follows major unrest in 2022 over price hikes and the 2022-2023 protests sparked by the death of Mahsa Amini.
Dialogue or delay?
Here’s the thing: the offer of dialogue is a significant shift in rhetoric. For years, the state’s default response to unrest has been a violent crackdown. Government spokeswoman Fatemeh Mohajerani even admitted the protests “originate from natural pressure arising from the pressure on people’s livelihoods.” That’s a rare, almost startling, acknowledgment of the root cause. But let’s be skeptical. Is this a genuine opening for reform, or simply a tactic to defuse immediate tension while buying time? The proof will be in whether any tangible economic policy changes—not just talks—actually emerge from these proposed discussions.
The economic pressure cooker
So what’s really driving this? It’s a perfect storm. Western sanctions are the overarching problem, crippling the economy and strangling the rial. But the government’s own recent “economic liberalisation policies,” as reported by Iranian media, are also blamed for putting more pressure on the open currency market where regular people go to buy dollars. When your money becomes nearly worthless that fast, what do you do? You protest. And it’s not the first time—the 2022 bread price protests show this is a chronic issue. The state is basically trying to manage the symptoms of a disease it can’t cure.
A familiar cycle of unrest
Look, this isn’t happening in a vacuum. The shadow of the massive, bold Mahsa Amini protests from 2022 into 2023 looms large. The state suppressed those with force. Now, with a different flavor of protest—more economically than socially motivated—they’re trying a softer tone. It’s a fascinating pivot. But can they separate the issues? The economic misery fuels broader discontent, and the memory of past crackdowns doesn’t just fade away. The government might hope to compartmentalize these currency protests, but for many Iranians, it’s all part of the same broken system.
Broader tensions persist
And let’s not forget the external pressure. While dealing with internal strife, Iran remains in the crosshairs internationally. The report notes U.S. President Donald Trump’s threat about backing more Israeli airstrikes if Iran resumes certain military work. It’s a lot to handle. You’ve got a currency in freefall, a population pushed to the brink, and constant geopolitical threats. Offering dialogue might be a necessary first step for stability, but it feels like a tiny bandage on a gaping wound. The real question is whether the leadership has the will, or even the ability, to implement the “fundamental measures” Pezeshkian posted about. I think we’ll believe it when we see it.
