A woman takes a selfie with Soleimani's family during a ceremony to commemorate his death, Tehran, Iran, January 2, 2025
As economic protests take place in Iran, the government-sponsored rallies and those organized by its core ultra-hardliner supporters are garnering dramatically less support amid the country's mounting crises.
The turnout for an annual state-sponsored political rally, which took place on December 30, seemed notably lackluster compared to previous years, with reports showing much smaller turnout and a much more subdued tone.
The Islamic Republic finds itself hard pressed by multiple crises, both at home and abroad. Its national currency has fallen by almost 40% since September, while it has been expelled from Syria after rebels captured Damascus.
Dey 9 Rally in Tehran This Year
As in previous years, the state-controlled media claimed that millions attended the rallies in Tehran and other cities. However, despite tight media controls, a report by the Reformist website EnsafNews on December 30 painted a different picture, at least about the rally in the capital.
The report noted that the crowd at Tehran’s Emam Hossein Square, the primary venue for the show of force, filled only about 60 percent of the medium-sized city-center square. Additionally, many attendees reportedly left midway through the ceremony and speeches.
Several people who attended of their own volition, unlike others mobilized by the state and religious organizations, said they were unaware of what the event commemorated.
Looking Back to December 30, 2009
The annual rallies date back to December 30, 2009, when the Islamic Republic mobilized massive crowds nationwide to protest against the anti-establishment Green Movement and its leaders, showing support for Supreme Leader Ali Khamenei who endorsed a controversial decision to announce Mahmoud Ahmadinejad as the winner of the presidential election in June of 2009.
The authorities claimed that tens of millions participated across the country, Khamenei and the state media heralding the turnout as epic. However, the opposition alleged that the government had bussed in government employees, military personnel, students, and residents of smaller towns and villages to inflate the size and impact of the rallies in Tehran and other major cities.
Following the the pro-Khamenei show of force, Green Movement leaders—Mir-Hossein Mousavi, his wife Zahra Rahnavard, and Mehdi Karroubi—were placed under house arrest.
The events of December 30, 2009 marked the end of the harshly suppressed Green Movement protests, and Dey 9 (falls on December 29 or 30 in the Persian calendar) became an annual occasion for those wishing to affirm loyalty to Khamenei.
These state-sponsored rallies, like those on the anniversary of the 1979 Islamic Revolution, are consistently covered extensively by state media and presented as proof of the system's legitimacy.
9 Dey rally on 30 December 2009
Vigilantes struggle to organize protests
Ultra-hardliner vigilantes have long been among Khamenei's core supporters and a key part of state-sponsored rallies. However, in recent months, they have struggled to mobilize even small groups on their own to protest against President Masoud Pezeshkian, whom they accuse of deviating from the more conservative agenda of the Islamic Republic and contributing to the country’s economic troubles.
Vigilantes' protest against unblocking social media platforms in Tehran, October 24, 2024
Citizen’s protests and strikes growing under economic pressures
Meanwhile, strikes and protests over fair wages, better working conditions, and payment of overdue salaries have now become a regular occurrence involving workers, retirees, nurses, teachers, and even merchants in the capital, with the likes of the IRGC warning citizens against protesting.
Fearing arrest amid continued crackdowns on protests, demonstrators often avoid strong slogans and direct attacks on top authorities including the Supreme Leader and instead, mainly focus on their economic demands.
On December 29, protests erupted at the Grand Bazaar in Tehran over soaring foreign currency rates and the worsening economic crisis, prompting many merchants to strike.
The strike spread to the nearby Sepahsalar shoe market that same day. The next day, goldsmiths in the Grand Bazaar also went on strike in protest against the economic conditions. Notably, there were no reports of violence against protesters or arrests.
Notably, despite the presence of security forces at all times, there have not been reports of violence against these protesters recently, reflecting authorities’ concern that cracking down on protesters could trigger a flare-up similar to the 2022 unrest.
The attorney general of Milan, Francesca Nanni, is set to issue her opinion on the release of Mohammad Abedini Najafabadi, an Iranian citizen detained at Malpensa airport on December 16 following a request from the US government, according to Il Giornale newspaper.
Three days after Najafabadi’s detention, on December 19, Italian journalist Cecilia Sala was arrested in Iran on unspecified charges of "violating Iranian law." Her arrest is widely regarded as a direct retaliation for Najafabadi’s detention.
This decision by the Attorney General coincides with complex negotiations between the Italian government and intelligence agencies and their Iranian counterparts to secure Sala’s release.
While Nanni's opinion is formally separate from these discussions, it will determine whether house arrest for Najafabadi would be sufficient to prevent his disappearance while awaiting extradition proceedings to the US. A favorable opinion on Najafabadi’s lawyer’s request could be positively received in Tehran.
Iran has officially confirmed Sala’s arrest, with its state news agency IRNA reporting on Monday that the 29-year-old journalist, who works for Il Foglio and the podcast company Chora Media, was detained for "violating the laws of the Islamic Republic."
US authorities allege that Najafabadi supplied materials for a deadly Iran-linked drone attack on American troops in Jordan.
Prominent Iranian hardline cleric Ahmad Alamolhoda, the Supreme Leader's representative in Khorasan Razavi province, has warned that foreign powers are actively recruiting members of Iran's parliament as spies.
Alamolhoda made the allegations during a meeting in Mashhad with members of the parliament’s Basij on Tuesday.
The Basij is a paramilitary volunteer force under the command of the Islamic Revolutionary Guard Corps (IRGC) that maintains a presence within nearly all Iranian state bodies, including the parliament.
He said that foreign intelligence agencies do not directly send spies into the parliament. Instead, he alleged, they identify lawmakers whose views align with their own and then recruit them through intermediaries.
"In the Islamic Consultative Assembly, people with different ideas and viewpoints enter," Alamolhoda said. "The enemy comes and evaluates these people to see which ones are close to their goals, and then recruits them through several intermediaries."
Some Reformist politicians in Iran are urging direct talks with Donald Trump to help resolve the country's serious economic crisis. However, others prefer indirect talks, highlighting hesitations among establishment figures.
In an interview with Etemad daily, prominent Reformist figure Ali Shakuri-Rad said on Tuesday that if Iran can carry out direct talks with the United States, it might even be able to stop Israeli Prime Minister Benyamin Netanyahu from what he called his outrageous behavior.
Referring to recent developments, including Elon Musk's reported meeting with Iran's UN ambassador, the visits of a Japanese deputy foreign minister Takehiro Funakoshi and Oman's Foreign Minister Sayyid Badr Albusaidi’s trips to Tehran, Shakuri-Rad stated that these “are clear signals indicating the United States is reaching out to Iran."
Remembering that Trump’s reported message carried by former Japanese Prime Minister Shinzo Abe in 2019 was ignored by Khamenei, Shakuri-Rad warned that "Tehran should avoid that kind of reaction to the US outreach." He said, "ignoring that particular message created serious problems for Iran."
Reformist politician, Ali Shakuri-Rad
"Such messages should not be left unanswered," the analyst said, adding that "Iran should not avoid direct talks with Washington, and should not give negative responses to the United States' messages as they provide opportunities for Tehran."
"Iran should not close the doors to negotiations with Trump," he said, adding, "We should negotiate with Trump and hope to protect our national interests through the talks."
Meanwhile, in an interview with pro-reform Jamaran News website, Mohammad Ghoochani a member of the government's news dissemination team said that "Iran will certainly hold indirect talks with the United States sometime during the next months although it might be in Tehran's interest to conduct direct negotiations."
Ghoochani said he personally believes that "It is essential to hold direct talks with America," adding that "holding direct talks does not mean we will accept whatever Trump might say."
Ruling out former security chief Ali Shamkhani's claim about being in charge of Iran's nuclear negotiations, Ghoochani reiterated that "the Foreign Ministry and Foreign Minister Abbas Araghchi will be leading the Iranian delegation in the talks."
However, he noted that Khamenei's advisor, Ali Larijani, "might also play a key role in negotiations with the United States," but he did not provide further details.
Recently, other moderate politicians including former Vice President Es'haq Jahangiri also called for direct talks with the United States and said Iran's ailing economy needs urgent attention.
According to centrist Entekhab website, Former President Hassan Rouhani, who has always supported negotiation with the West, also told his political allies in a meeting that "Iran's problems will not be solved without constructive interaction with the world." He said, "Lifting of sanctions and accepting FATF protocols are prerequisites for engagement with the West. He also pointed out that the government in Tehran should listen to the people's demands.
In a related development, a Reformist commentator highlighted the severity of the country's economic crisis in the Etemad newspaper. "The government is running out of time as the hardships in Iran have become unbearable," he warned. In what appeared to be a reference to Khamenei, he added, "It would be a mistake for the broader political structure to believe that only the presidential administration is responsible for resolving these issues. If the government fails, everyone fail.”
A day after protests erupted at two of Tehran's traditional bazaars over the worsening economic crisis and soaring inflation, the goldsmiths bazaar joined the strike on Monday, December 30.
The unrest in Tehran's largest traditional market comes amid growing warnings from politicians and economists about Iran's dire economic state. Reformist politician Ali Mohammad Namazi told conservative outlet Nameh News, "The situation of the Iranian economy is alarming."
Namazi criticized President Masoud Pezeshkian for failing to deliver on campaign promises to "lift sanctions, facilitate international trade, and expand relations with other countries." He added, "The public is now demanding accountability for these unfulfilled promises."
"Iranians are uncertain about their future," Namazi said, warning that unresolved problems could escalate into crises. He also noted that the current instability benefits those with access to insider information while making long-term planning impossible for ordinary citizens.
Namazi further highlighted the structural challenges facing Iran, even if sanctions were lifted. "Even in the best-case scenario, restoring oil production to normal levels would require at least four months of intensive work due to neglected maintenance of oil wells," he explained.
Economic strains and potential unrest
Nameh News emphasized the falling value of the rial and persistent high inflation as key issues plaguing Iran's economy. In response, IRGC commanders and Iran's judiciary chief have stated they are prepared to handle potential unrest. Namazi warned that if the economic freefall, particularly the decline of the rial, is not controlled, widespread protests could ensue.
Geopolitical complications
Iranian foreign policy analyst Ghasem Mohebali told Nameh News that hardliners within Iran oppose lifting sanctions because a normalized economy could weaken their influence. "Hardliners in Iran, like their counterparts in the region and beyond, benefit from ongoing tensions," Mohebali said. He pointed out that global players, including Iran, Russia, the United States, and even China, have vested interests in maintaining instability in the Middle East to advance their own agendas.
"China, for instance, prefers regional tensions to keep the US and Europe distracted from focusing on the war in Ukraine and applying pressure over East Asia," Mohebali added.
Political pressures on the Pezeshkian administration
Amid the crisis, President Pezeshkian faces pressure from reformists and hardliners alike. The IRGC-linked Javan newspaper reported that reformist figures, including former President Mohammad Khatami and former Majles Speaker Ali Akbar Nateq Nouri, are urging Pezeshkian to tell Supreme Leader Ali Khamenei that the government cannot resolve the crisis without negotiating with the West.
Former Vice President Es'haq Jahangiri echoed this sentiment, stating, "Iran is in a difficult situation, and Tehran needs to negotiate with Trump and accept his conditions."
Meanwhile, the hardliner Kayhan newspaper, linked to Khamenei’s office, criticized Pezeshkian’s advisers and called for a government reshuffle. "The current deadlocks are the result of poor advice given to the President," Kayhan warned, adding that advisers suggesting the government is incapable of solving the crisis "are not well-wishers."
Unlike reformists advocating negotiations with the Trump administration, hardliners like Kayhan cautioned against trusting the US and its allies. "How many more times must we try to deal with the 'Great Satan' and its followers?" the publication asked.
A nation at a crossroads
As economic pressures mount and political divisions deepen, Iran's government faces an uncertain path forward. With internal protests and geopolitical complexities converging, Pezeshkian’s administration must navigate mounting challenges while addressing growing calls for accountability and decisive action.
Iran’s economy minister announced on Tuesday that the Supreme Leader has approved revisiting two critical international conventions required to ease banking restrictions resulting from Iran's blacklisting by the money laundering watchdog, the Financial Action Task Force (FATF).
Abdolnaser Hemmati wrote on X, "The president informed me that the Supreme Leader has approved revisiting the Palermo and CFT bills related to the FATF in the Expediency Discernment Council."
The Expediency Discernment Council, which mediates disputes between parliament and the Guardian Council (a constitutional watchdog), became involved after parliament approved the legislation but the Guardian Council rejected the two bills concerning the Palermo and CFT conventions regulating money laundering and financing of terror groups.
The Financial Action Task Force (FATF), established by the G7 member countries to safeguard the international financial system, influences banking policies in most countries and guides businesses aiming to protect their own integrity and reputations.
Iran's status on the FATF blacklist has had a major impact on its international banking operations. The country remains on the list of high-risk countries with serious strategic deficiencies in countering money laundering, terrorist financing, and proliferation financing.
Iran needs to finalize legislation enabling the enactment of two international conventions: the International Convention for the Suppression of the Financing of Terrorism (CFT) and the UN Convention against Transnational Organized Crime (Palermo Convention).
The dispute between the parliament and the Guardian Council was referred to the Expediency Council in 2019 for arbitration.
The Expediency Council has stalled the matter since then, neither approving nor rejecting the bills. The inaction is apparently due to objections from hardliners, such as the Chairman of the Expediency Council Sadeq Amoli Larijani, who argue that joining the conventions would harm Iran's national security by exposing its dealings with regional Tehran-backed allies—precisely the activities these international agreements are designed to address.
“If you ask my personal opinion, Palermo and CFT are extremely detrimental to national security,” Larijani said in 2020.
Iran will remain on the FATF's list of High-Risk Jurisdictions Subject to a Call for Action until it fully implements its action plan, including ratifying the Palermo and CFT. Only then will the FATF consider next steps, such as suspending countermeasures.
The FATF says it remains concerned about the terrorist financing risk from Iran and its threat to the international financial system until these measures are implemented.
Even if Iran joins the FATF, more must be done to attract foreign investment, Mohammad Khazaei, Secretary-General of the Iranian Committee of the International Chamber of Commerce (ICC), said earlier in the year.