Regime Infighting: Iran’s Deepening Economic Crisis Sparks Regime Fear Over Potential Uprising

In recent days, Iran’s ruling establishment has shown increasing alarm over the rising dissatisfaction among workers and impoverished citizens, fearing that ongoing livelihood crises, coupled with critical shortages of water and electricity, could escalate into security threats.

On April 23, 2025, Mohammad Jamalian, a member of the regime’s parliament (Majlis), warned:
“Another important issue is water stress. We are talking about a matter that, more than ever, requires national understanding, managerial consensus, and practical action. Water, this vital element, if we delay action, will turn into a social, economic, and security crisis…”

Similarly, on April 21, the state-run Mashregh News highlighted the dire situation in an article titled “Tehran on the Brink of Severe Drought.” It emphasized that Tehran Province, home to over 20 million people, faces a severe water crisis. The report warned that persistent droughts have depleted underground water sources, turning land subsidence into a significant security challenge.

The regime’s anxieties are not limited to environmental issues. On April 23, Ezzatollah Habibzadeh, another parliament member, pointed to the worsening economic situation, stating:
“Today, we face great challenges. Inflation and high prices have exhausted the people. Prices rise daily, but incomes remain stagnant. Unfair taxes are crippling shopkeepers and producers. Youth unemployment, particularly among the educated, has become a national problem. Housing remains a dream for many young people, while skyrocketing rents are strangling families. People can no longer endure repetitive promises.”

State officials and media outlets have voiced deep concern over the growing risk of protests and uprisings. On April 19, the state-run Ebtekar newspaper warned that the poverty line is rapidly rising, with food now accounting for 35% of household expenditures. Every surge in food prices drags millions more into poverty. Meanwhile, wage growth fails to keep pace with soaring inflation, worsening inequality and deepening societal fractures.

Further illustrating the crisis, Bahar News reported on April 24 that the inflation rate had reached its highest level in a year and a half. Under the headline “A Narrative of Difficult Times for Lower Deciles,” it described a fresh surge in prices affecting not just basic necessities, but also transportation, healthcare, and even fruits and nuts, impacting the lives of millions.

Adding to public frustration are frequent power outages and price manipulations. As noted on April 22, when currency exchange rates rise, prices are immediately increased; yet when exchange rates fall, businesses refuse to lower prices, fueling further anger among the population.

These issues represent only a portion of the deepening crises now engulfing Iran. The regime’s infighting within its parliament over the severity of these economic and social challenges underscores a growing fear: that these mounting grievances could soon spark widespread unrest, posing an existential threat to the regime’s survival.

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