Iran International
Iran’s January protests were the predictable result of years of ignored economic and social warning signs, according to one of the country’s most prominent economists, who says the state failed to recognize how close society had come to the brink.
In an op-ed published this week in one of Iran’s leading economic newspapers, Donya-ye Eghtesad, the economist Massoud Nili described the country’s current predicament as a failure of governance that left mounting problems and public grievances unaddressed.
“The current situation marks one of the saddest and most critical junctures in Iran’s history,” Nili wrote, “a moment in which thousands of Iranians — mainly young people — lost their lives in less than 48 hours.”
He argued that “a combination of poverty, unemployment, inequality, inflation, psychological insecurity under the looming shadow of war, and cultural conflict placed young Iranians at the center of the crisis.”
The unrest began in Tehran’s historic Grand Bazaar in late 2025, initially driven by slogans reflecting economic hardship. Over the following week, they broadened into nationwide demonstrations calling for the overthrow of the Islamic Republic.
Protests peaked on January 8 and 9, following a call for coordinated actions by exiled prince Reza Pahlavi.
As many as 36,500 people were killed during the crackdown on those two days, according to an internal assessment leaked to and reviewed by Iran International.
Among the clearest warning signs, Nili noted, was the existence of nearly 12 million young Iranians who are neither employed nor enrolled in education.
Iran’s labor market, he wrote, has been effectively stagnant since 2009. While the working-age population increased by 4.4 million, the economy created only about 200,000 jobs, even as roughly 700,000 people lost employment.
Official figures suggest that net job creation has approached zero in recent years.
Other economists have echoed Nili’s assessment in the weeks since the protests and their violent suppression.
Speaking at Tejarat Farda’s economic forum in late January, Mohammad Mehdi Behkish described the protests as the product of “forty years of flawed governance and policymaking,” arguing that rigid political and economic structures had pushed society toward a breaking point.
Another prominent economist, Mousa Ghaninejad, pointed to the scale of the deterioration. In 2011, he said, fewer than 20 percent of Iranians lived below the poverty line. Today, that figure has risen to roughly 40 percent.
Declining oil revenues have further constrained the state’s ability to provide social support, while access to adequate nutrition and medical care has sharply declined.
Official data show inflation has exceeded 40 percent for at least two years, eroding purchasing power even among government employees and military personnel.
High inflation has enriched groups with preferential access to state-linked resources, widening inequality and deepening social resentment.
Nili concluded that a convergence of poverty, unemployment, inequality, psychological insecurity under the shadow of war, and cultural conflict had placed young Iranians at the center of the crisis.
Writing from inside Iran, Nili confined his analysis to economic and social indicators and avoided the political roots of the crisis—the deepening rupture between the state and a society that has come to resent the worldview and governing vision of its rulers.
He did mention “realities”, however, that if ignored, would steer the country toward “an extremely dangerous future.”
Tehran’s unveiling of a towering statue depicting the Roman Emperor Valerian kneeling before pre-Islamic Persian King Shapur I has renewed criticism of the Islamic Republic’s appeal to nationalist sentiment following the June war with Israel.
For over forty years, the theocracy purged ancient Persian history from schoolbooks, replacing it with post-Islamic narratives. But after the 12-day conflict with Israel, officials have turned to the distant pre-Islamic past to rally a divided society.
From murals of ancient kings and soldiers to patriotic songs added to Shi’ite mourning ceremonies performed before Supreme Leader Ali Khamenei, Tehran now embraces imagery once deemed heretical by its own revolutionary ethos.
'Kneel before Iran' campaign
Tehran’s Revolution (Enghelab) Square was the scene of an unusual spectacle on Friday as officials unveiled a massive bronze statue depicting Roman Emperor Valerian kneeling in submission before Sassanid King Shapur I, commemorating Iran’s victory at the Battle of Edessa (260 AD).
The event was held under the slogan “Kneel before Iran,” part of what authorities describe as a campaign to project “national unity and historical pride” following the June war with Israel.
Tehran Mayor Alireza Zakani, a staunch ultraconservative, said on X: “Enmity with Great Iran can only end in kneeling before this historic nation.”
Municipal official Davood Goodarzi said the installation would be accompanied by visual displays depicting “other victories of Iranians over foreign aggressors,” including the defeat of British forces by local commander Rais-Ali Delvari, Mirza Kuchak Khan’s resistance against Russian troops, and Surena’s triumph over Rome at the Battle of Carrhae in 53 BCE.
The goal, Goodarzi said, is “strengthening concepts such as national dignity, social unity, and Iranian identity.”
The statue, he said, would remain temporarily at Revolution Square before being moved to a city gateway “where it will stand as the first emblem of Iran before diplomats and foreign visitors.”
Unveiled women were allowed to attend the unveiling ceremony—an uncommon scene at events organized by Tehran’s ultra-hardline municipality.
The turn to the pre-Islamic past
The sharp reversal also recalls remarks once made by Khamenei. In a 2011 speech, he asserted that “all the great military victories of this nation came after Islam,” dismissing pre-Islamic accounts as “things that are not documented.”
In 1987, he had said that prophets triumphed over kings such as Cyrus and that “nothing remains of these monarchs in history but names remembered with derision.”
Nevertheless, pro-government social media accounts have now gone so far as to circulate posters equating Khamenei himself with Shapur, showing him standing with a staff as Benjamin Netanyahu and Donald Trump kneel before him. The caption reads: “You will kneel before Iran.”
'Hypocrisy'
Pro-government figures have hailed the move as a patriotic success. Conservative political reporter Hossein Saremi posted: “Today’s grand Iranian gathering showed that people and the state share one essence: Iran itself. Nothing can take our homeland away.”
Others, however, called the spectacle “hypocrisy.” Journalist Gholamhossein Pashaei wrote on X: “Every year you close Pasargadae to stop people from celebrating Cyrus Day, yet you unveil Shapur’s statue in Enghelab Square with drums and fireworks during Fatimiyya (mourning period)!”
Dissident commentator Hamid Asafi called the ceremony “a perfect snapshot of the Islamic Republic’s contradictions.”
On Telegram he wrote: “A week ago they closed Cyrus’s tomb out of fear of the crowds, and now they glorify Shapur in the same breath. The Islamic Republic fears living history but poses for selfies with its corpse.”
He added: “They know people no longer respond to rosaries and sermons. That’s why they’ve brought history back to the stage—in a controlled costume. If they can’t erase the past, they’ll try to own it.”
The irony deepened as UNESCO formally recognized Cyrus’s Charter as one of the earliest human-rights documents.
President Masoud Pezeshkian wrote on X: “Iran, the cradle of dialogue, justice, and coexistence, can still inspire peace today.”
Users swiftly replied, questioning how such pride could coexist with a government that blocks access to Cyrus’s tomb each year to those wishing to visit it on his birthday.
