Iran: Economic Reasons for the New year’s unrest

Affiliation:
Leading Research Fellow, Center of Near and Middle Eastern Studies
Head, Department of Iranian Studies, Institute of Oriental Studies, Russian Academy of Science
Associate Professor, Department of Global Economy, MGIMO, Ministry of Fore
Address: Russia, Moscow

Journal name

Asia and Africa Today

Edition

Issue 7

Pages

22-26

Abstract

At the end of December 2017 mass demonstrations began in a number of cities in Iran, which ended in the first week of 2018. These protests became the most powerful after the defeat of the «Green Movement» in 2009. The demands of the demonstrators were political and economic. This article analyses the most relevant directions of the economic policy of the government of Hasan Rouhani and the state of the Iranian economy that was economical cause of protest demonstrations. Particular attention is paid to employment issues, labor remuneration and fight against inflation. At the same time, in 2017 the Iranian economy grew, new enterprises entered service, economic ties with foreign countries expanded. But due to low oil prices the budget became scarce. Therefore, the government of H.Rouhani tried to reduce benefits for some structures, including Islamic funds (boniads), companies of the Islamic Revolutionary Guard Corps. It is no coincidence that the protests began in Mashhad, one of the largest religious centers. It is there that the largest wakf in the East, Astana Kods, headed by Ibrahim Riyasi, the main rival of H.Ruhani at the presidential elections that took place in 2017. But protests did not lead to the fall of the government of H Rouhani, who generally adheres to the pro-reform course. The changes in economic policy, which were carried out under the influence of the protest movement, are considered. Much attention is paid to changes in the budget plan for 2018/19, privatization of state property. The author believes that protest demonstrations have become a certain incentive for accelerating the liberalization of the Iranian economy.

Keywords

Iran, demonstrations, Iranian economy, inflation, unemployment, budget

Received

01.08.2018

Publication date

27.08.2018

Number of characters

20746

Cite

GOST	Mamedova N. Iran: Economic Reasons for the «New year’s unrest» // Asia and Africa Today – 2018. – Issue 7 C. 22-26 [Electronic resource]. URL: https://asaf-today.ru/S032150750000094-5-1 (circulation date: 28.04.2025). DOI: 10.31857/S032150750000094-5
MLA	Mamedova, Nina "Iran: Economic Reasons for the «New year’s unrest»." Asia and Africa Today 7 (2018):22-26. DOI: 10.31857/S032150750000094-5
APA	Mamedova N. (2018). Iran: Economic Reasons for the «New year’s unrest». Asia and Africa Today (7), pp.22-26 DOI: 10.31857/S032150750000094-5

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