Iran's regime is facing the greatest threat to its survival since the war with Iraq in the 1980s
Without bumper oil income, gasoline subsidies are now unsustainable. On Friday, Iran lifted prices by 50 percent and said that motorists would only be able to buy 60 liters of gasoline a month at a price of about 13 cents. Each additional liter would cost 26 cents.
In private, ordinary Iranians often complain about the state’s massive economic mismanagement and corruption, but have traditionally tended to bite their lips while food and fuel remain cheap. Now, the rules of the game have changed.As always with protests in Iran, it is hard to gauge what is going on thanks to the state’s immediate restrictions on the internet, but the scale of the unrest looks worrying for the government.
That won the usual frosty reception in Tehran. Foreign Ministry Spokesman Abbas Mousavi replied:"Such hypocrite statements are completely devoid of sincere sympathy."Even if the authorities snuff out the immediate protests with a crackdown, their longer term survival will depend on their ability to find more money for dole-outs. And quickly. Parliamentary elections are due in February.
As the years of economic incompetence now come back to haunt them, Iran's leaders are tripping over themselves not to appear responsible for the damage.
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