The condemned inmate survived two doses of pentobarbital, raising new questions about the state's execution protocol What was supposed to...
Read More
International-News
Iran: economic crisis and social unrest, a weakened leadership faces new challenges
Iran is at the centre of an internal and external crisis as it prepares to negotiate with the Trump administration and faces an uncertain future
Internal unrest and collapse of allies Iran faces an unprecedented crisis, both within and outside its borders. On the one hand, the country is shaken by a deep economic crisis and growing social unrest; on the other, it is helplessly witnessing the collapse of its allies in the region. The leadership of Hamas and Hezbollah, historical supporters of Iran, has been severely hit by Israeli attacks, and the regime of Bashar al-Assad was recently deposed by a jihadist group, led by Abu Mohammed al-Jawlani. In this chaotic scenario, Iran is preparing to face a potentially hostile return of Donald Trump to the White House, with the threat of new sanctions and even pre-emptive raids to block its nuclear programme.
International pressure and sanctions
With the Trump administration considering new interventions, Iran finds itself in an extremely difficult position. According to Sanam Vakil, director of the Middle East and North Africa programme at Chatham House in London, the Iranian leadership is facing one of the most difficult challenges in decades. The Trump administration would be motivated to achieve significant results in terms of nuclear security and could seek a compromise with Tehran. However, tensions between the two countries remain very high, complicated also by the memory of the killing of Qassem Soleimani, an Iranian general killed in 2020 on Trump’s orders, an event that Ayatollah Ali Khamenei continues to evoke frequently.
Economic crisis and internal protests
On the domestic front, Iran’s economic situation is dire. The national currency, the rial, hit an all-time low at the end of 2024, falling 40 per cent since the beginning of the year. The gross domestic product per capita has plummeted by 45% in the last ten years. This dramatic drop has triggered widespread protests across the country, with sectors of civil society, from pensioners to telecommunication workers, demonstrating against the regime due to growing social discontent.
The oil sector, the backbone of the Iranian economy, is also in turmoil. Workers at the petrochemical plant in Abadan, one of the largest in Iran, have been protesting for months against delayed salary payments. Some demonstrations have taken on highly political overtones, criticising the regime for prioritising its ideological agenda over solving the country’s economic problems.
Energy crisis and food shortages
In addition to economic problems, Iran is also grappling with a severe energy crisis. Industrial production has dropped dramatically, with plants operating at only 41% of their capacity due to the lack of electricity and natural gas. This situation has also hit the food sector hard, with increasing risks for food security as meat and poultry production is drastically decreasing. The lack of energy has brought several factories and plants to a halt, including 22 cement and pharmaceutical plants, further aggravating the industrial recession already plaguing the country.
Future prospects: negotiations with the West?
In an attempt to avoid further sanctions and stem the economic collapse, Iran has expressed readiness to resume nuclear negotiations, as stated by Foreign Minister Abbas Araghchi. However, the situation remains tense, with Tehran also saying it is ready to resist new restrictions. The window for a compromise with the West is narrow, and the risk is that the negotiations will become a difficult tug-of-war between Trump and the Iranian leadership, with the latter in a much less advantageous position than in the past.
THE LATEST NEWS
Six Flags Shuts Down X2 Permanently After Brain Injury Claims Mount
1 October 2026
The landmark roller coaster at Six Flags Magic Mountain will not reopen following a series of lawsuits and allegations of...
Read More
Rutte Dismisses Nuclear Escalation Fears, Says Russia Cannot Defeat NATO
30 September 2026
The NATO secretary general says there is no imminent threat to alliance territory, argues Moscow's nuclear rhetoric should not alter...
Read More
Police Hunt Suspect After Three Workers Shot at Virginia Rental Company
30 September 2026
Three United Rentals employees suffered potentially life-threatening injuries after a colleague allegedly opened fire at the company's Manassas facility before...
Read More
Tennessee Set to Execute Christa Pike, the Only Woman on Death Row for a Crime Committed as a Teenager
30 September 2026
The scheduled execution of a woman convicted of murder at 18 has reignited debate over capital punishment, trauma, and justice...
Read More
Queen Camilla angered by Harry and Meghan’s silence on Diana memoir
30 September 2026
Reports suggest Queen Camilla views the Sussexes' lack of public response to Earl Spencer's new memoir as a betrayal amid...
Read More
OECD Warns of Potentially Severe El Niño as Food Price Risks Mount
29 September 2026
A very strong El Niño could hit harvests across Africa, Southeast Asia and Central America, adding fresh inflationary pressures to...
Read More
Russia Warns NATO Over Kaliningrad Isolation Scenario
29 September 2026
Moscow says any attempt to sever the Baltic exclave from the Russian mainland would trigger a response using all available...
Read More
(Photo: © AndKronos)
