Iran Faces Economic Crisis Amid Ongoing Conflict and Internet Shutdown

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Arabic version: إيران تواجه أزمة اقتصادية وصراع مستمر وانقطاع الإنترنت

Tehran, Iran – Iranians are grappling with the consequences of the US-Israeli conflict for the fourth consecutive week while also facing a struggling economy and the longest internet blackout in the nation’s history. Most businesses are currently closed for the Nowruz holidays, marking the Persian New Year.

According to Al Jazeera, the impact of previous conflicts and protests has led to significant reductions in market activity, particularly in the lead-up to Nowruz. A textile vendor in Tehran’s Grand Bazaar reported that sales were only one-third of typical levels, raising concerns about the future of their businesses.

The Iranian economy has been under strain for years, exacerbated by local corruption and international sanctions initiated in 2018. Official inflation rates reached about 70 percent before the onset of the current conflict, with food prices soaring over 100 percent, causing hardship for lower-income families. Despite government promises of increased minimum wages and subsidies, many Iranians are struggling to make ends meet, with rising costs outpacing any financial relief.

Additionally, the state-imposed internet blackout has left over 90 million people without access to the global internet for 25 days, compounding the economic challenges. This shutdown has not only stifled communication but has also disrupted many online businesses, forcing some to halt operations. A young entrepreneur lamented the financial and psychological toll of the blackout, noting that her income has dwindled significantly.

Amidst these challenges, the Iranian judiciary has taken measures against dissent, including asset confiscations of individuals who have expressed solidarity with protesters. The authorities have issued warnings against any public dissent, with threats of severe consequences for those who challenge the government. As the conflict continues, Iranians face an uncertain future, grappling with both economic instability and the threat of repression.

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