Protesters expressing frustration over Iran’s struggling economy staged a sit-in at Tehran’s Grand Bazaar on Tuesday, witnesses reported. Security forces eventually used tear gas to disperse the demonstrators as the market closed down for the day.
The demonstration at the Grand Bazaar, a historic hub of Iran’s economic and political activities, indicated that protests are likely to persist as the country’s currency, the rial, hit a record low on Tuesday. According to rights groups, at least 25 individuals have lost their lives in Iran over the past nine days of protests, which commenced at the bazaar. The death toll may even be as high as 35.
While the protests have extended to certain cities in western and southern Iran, they have not reached the magnitude of the unrest that swept the nation in 2022-23 over the death of Mahsa Amini, who passed away while in the custody of Iran’s morality police.
Reports from Hengaw, a Kurdish Iranian rights organization, suggest that 25 people, including four minors, have died, with over 1,000 arrests. HRANA, a network of rights activists, has stated that at least 35 individuals, including two law enforcement officials, have been killed, in addition to 1,203 arrests, as of Tuesday.
Although the protests are smaller in scale, they have quickly evolved from an economic focus to encompass broader grievances, with some demonstrators voicing opposition to the country’s clerical leadership.
The situation is expected to deteriorate further as Iran’s Central Bank significantly reduced the subsidized exchange rates for dollars offered to importers and producers. This move is likely to prompt merchants to pass on price increases directly to consumers who have already seen their savings dwindle due to years of sanctions against Iran.
Iran’s reformist President Masoud Pezeshkian, while ordering an investigation into one protest-related incident, indicated that the crisis may be escalating beyond the government’s control. He emphasized that the government cannot handle the situation alone.
International pressure continues to mount on Iran, with U.S. President Donald Trump warning of intervention in support of Iranian protesters if security forces resort to violence. In response, Iran’s Supreme Leader Ayatollah Ali Khamenei vowed not to capitulate to external pressures.
In the Grand Bazaar, demonstrators sat down in front of security forces in one passage, while nearby shops closed their doors, as shown in online videos and witness accounts. Tear gas was later used to disperse the protesters. The country’s clerical establishment is still grappling with the aftermath of the 2025 strikes on Iranian facilities by Israel and the U.S.
President Trump’s warning coincided with U.S. special forces seizing Venezuelan leader Nicolás Maduro and his wife, which drew condemnation from Iran, a longtime ally of Venezuela also facing U.S. sanctions.
Iranian authorities have not disclosed the death toll among protesters but have confirmed the deaths of two security personnel and injuries to over a dozen others during the unrest. Law enforcement officials have been quoted as vowing to deal decisively with rioters and maintain order.
Protests have expanded beyond economic demands to include criticisms of governance and calls for justice. The demonstrations have spread to 27 out of 31 provinces in Iran and reached smaller cities. Authorities have acknowledged economic challenges but have accused foreign-linked networks of instigating chaos.
President Pezeshkian has advocated for dialogue and pledged reforms to stabilize the monetary and banking systems. The government has announced subsidy reforms to bolster purchasing power for essential goods. The central bank’s chief was replaced on December 29, and the rial has continued to depreciate, falling by four percent since the protests began.