Iran's $7 monthly payments fail to ease spiraling unrest over economic crisis while Trump weighs military options a week after Venezuela raid | Fortune

"The mounting unrest comes as Tehran's piecemeal efforts to address an economic crisis have done little to appease Iranians. Since protests began late last month, the government has offered words of sympathy, fired the central bank's chief, and announced plans to provide most people with a monthly payment of about 1 million Iranian tomans-equivalent to $7. Instead of spending $10 billion annually to subsidize imports, that money will instead go directly to 80 million Iranians in the form of credit to buy certain goods."

"But the $7 monthly payments offer little relief to beleaguered consumers who are suffering from food inflation of 64%. It's made worse by a 60% crash in the currency's value since June, when Iran and Israel fought a 12-day war that was capped by the U.S. bombing of Tehran's nuclear facilities. Now, what began as a protest among merchants in Tehran's bazaars has spread to students as well as Iran's working and middle classes all across the country."

"The security forces that keep the regime in power have not escaped hardship either. While human rights groups estimate hundreds have died from the government's crackdown, Iranians say it's not as severe as it could be. "Security and law enforcement people are facing the same economic issues and high prices, themselves," a protester in Tehran told the New York Times. "They are not fighting back wholeheartedly.""

Mass protests have intensified across Iran as economic collapse, soaring food inflation and a collapsing currency deepen public anger. The government responded by firing the central bank chief and offering a monthly payment of about 1 million tomans (approximately $7), redirecting funds that previously subsidized imports as credit to 80 million people. The meager payment fails to offset 64% food inflation and a 60% currency collapse since June. Demonstrations spread from Tehran's bazaars to students and the working and middle classes nationwide. Security forces face similar economic pressures, human rights groups report hundreds killed in a harsh crackdown, and U.S. leaders have threatened and discussed possible military responses.

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