Iran Offers $7 Aid to Quell Protests Amid Economic Crisis, Unrest Spreads

Explainers
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Firstpost•06-01-2026, 17:53
Iran Offers $7 Aid to Quell Protests Amid Economic Crisis, Unrest Spreads
- •Iran's government plans to pay $7 (Rs 631) monthly to 80 million citizens to ease economic pressure and quell widespread protests.
- •Protests, sparked by a deepening economic crisis and 52.6% inflation, began December 28 and have spread to 27 of Iran’s 31 provinces.
- •Demonstrators, including merchants, traders, and students, demand freedom and the ouster of Supreme Leader Ayatollah Ali Khamenei.
- •Security forces have reportedly fired on protesters, leading to deaths and over 1,200 arrests; US President Trump warned Iran against killing protesters.
- •The $7 payment replaces import subsidies, aiming to preserve purchasing power, but critics doubt its impact on the middle class's despair.
Why It Matters: Iran's $7 monthly payment aims to calm economic protests, but its effectiveness against deep-seated despair remains uncertain.
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