Iran Economic Protests 2026: Triple-Digit Inflation Triggers Deadly National Unrest

Cooking oil prices tripled overnight, and now Iran is burning. Massive demonstrations have paralyzed major cities as citizens' patience with a free-falling economy finally snapped. It's a crisis that has pushed security forces to use live fire against their own people.

Escalating Iran Economic Protests 2026 and Security Crackdown

As of January 7, 2026, bold protests are sweeping across the country. In Tehran, traders at the historic Grand Bazaar shuttered their shops to clash with riot police. According to AFP and social media footage, security personnel have even stormed medical facilities, including the Imam Khomeini Hospital in Ilam, to arrest wounded demonstrators. Amnesty International condemned these actions, stating they show just how far authorities will go to crush dissent.

The situation turned lethal in Malekshahi, where at least three people were killed after security forces opened fire on crowds near a military base. While human rights monitors claim the death toll has reached 35, the state has remained silent on official casualty figures, focusing instead on the death of a police officer during clashes.

The Tipping Point: Rial Collapse and Subsidy Cuts

The unrest stems from President Masoud Pezeshkian's latest budget, which eliminated subsidized currency rates for food imports. This move sent the Iranian Rial to an all-time low of 1.47 million per US dollar. While economists argue the reform was necessary to combat corruption, the immediate impact has decimated the middle class's purchasing power. Even national icons like football legend Ali Daei have voiced support for the protesters, questioning whether officials feel any sympathy for the nation.