1US dollar==1540000 IRR in iran
The Situation of Iranians in the Past Year (2025)
In 2025, Iranians faced one of the most challenging years in recent decades, marked by severe economic hardship, a direct military conflict with Israel, setbacks to the nuclear program, and widespread protests that erupted toward the year's end.
Economic Crisis
The Iranian economy deteriorated significantly throughout 2025. Inflation surged, reaching 48.6% in October and around 42.2% in December, with food prices rising by over 70% in some periods. The Iranian rial depreciated dramatically, hitting record lows—crossing 1,000,000 rials to the US dollar by March and further plummeting to around 1.45 million by late December. This currency collapse made essential goods increasingly unaffordable, contributing to widespread malnutrition, poverty affecting over a third of the population, and daily struggles for basic necessities.
Energy shortages worsened, with frequent power outages, water crises in major cities, and severe air pollution in places like Tehran. Oil revenues, a key government income source, dropped sharply (meeting only about 16% of expectations in some reports), exacerbated by renewed international sanctions. The government proposed tax increases and budget measures that failed to match inflation, leading to strikes by merchants and truck drivers.
Military Conflict and Regional Setbacks
A major turning point was the Twelve-Day War with Israel in June 2025 (June 13–24). Israel launched surprise attacks on Iranian military sites, nuclear facilities, and leadership, killing senior IRGC commanders (including Hossein Salami) and scientists. The United States joined on June 22, striking nuclear sites. Iran retaliated with missile barrages but suffered significant damage to its air defenses, missile production, and nuclear infrastructure.
The war ended in a ceasefire, but it weakened Iran's regional influence, with allies like Hezbollah and Hamas degraded and the Assad regime in Syria falling. Renewed UN sanctions via "snapback" further isolated Iran economically.
Nuclear Program Developments
Strikes damaged key sites like Natanz, Fordow, and Isfahan, setting back enrichment capabilities temporarily. However, Iran retained significant stocks of highly enriched uranium (enough for potential weapons pre-war), and reconstruction efforts were reported. Tensions with the IAEA persisted, with Iran limiting inspections and facing accusations of non-compliance.
Social and Political Unrest
Social defiance grew, particularly among youth and women, challenging norms despite repression. The year saw incidents like explosions (e.g., Bandar Abbas port) and executions.
The culmination was mass protests starting December 28, 2025, spreading to multiple provinces. Triggered by economic woes—inflation, currency crash, and planned tax hikes—they quickly turned political, with chants like "Neither Gaza nor Lebanon, My Life for Iran" criticizing foreign policy priorities. Protests involved shop closures, student participation, and clashes, resulting in deaths and government shutdowns of offices and universities. By early 2026, they represented the largest unrest since the 2022–2023 Mahsa Amini protests.
President Masoud Pezeshkian faced criticism, with cabinet changes and calls for unity, while Supreme Leader Khamenei adopted a cautious stance amid mounting pressures.
Overall, 2025 left many Iranians feeling isolated, economically strained, and uncertain, with domestic challenges overshadowing regional ambitions and fueling demands for change.