Subscription 790/year or 190/quarter

Iran, mullah capitalism and the protest movement

Around the turn of the year, Western media could read that there was a revolution underway in Iran. But there was no revolution – which is not so surprising.




(THIS ARTICLE IS MACHINE TRANSLATED by Google from Norwegian)

Leaders like Netanyahu in Israel, Donald Trump in the United States and the crown prince in Saudi Arabia expressed their support for this "revolution" that did not materialize. Oddly enough, similar statements came from some leftist groups.

Admittedly, Iran is an oppressive regime, and admittedly there are a host of problems affecting people in their daily lives and giving cause for dissatisfaction there. But the dissatisfaction is not strong enough, and the opposition is neither consensual enough nor organized enough to successfully carry out a revolt.

Nyliberalismeprotest. Some of the parables that Israel and the West liked very well were those that targeted Iran's support for Syria in the war against jihadists. But precisely the support for Syria is among the areas where the Iranian government has great support in the population – polls show that two out of three Iranians support Iran's participation in the war against jihadists in Syria.

What has led to protests and demonstrations in Iran is particularly the neoliberal policy of the Iranian government with privatization and price increases. And this was all the reason. There is also a strong dissatisfaction with the high youth unemployment rate in Iran, and it greatly affects graduates. This is one of the explanations for the youth's protests.

There is also widespread opposition or reluctance to the priesthood. Iran is not as religious as one might think, and there is great dissatisfaction – especially in the urban middle class – against the clergy. The Iranians are over medium nationalist and many consider Islam as an occupation religion (cf. the Muslim Carabian invasion of ancient Persia in the 600th century).

Iran is among the countries in the world with the highest proportion of students in terms of population – the majority of students are women.

Strong and advanced. It is a great misconception to believe that the regime in Iran is weak. Iran has an advanced economy and a well-developed education system compared to its neighbors. The academic and scientific standard is quite high, and despite the sanctions and the boycott, the country has managed to sustain the development of research and science.

Next to Egypt, Iran has the largest population in the Middle East, about 80,7 million. Iran is among the countries in the world with the highest proportion of students in terms of population, and the majority of students are women.

It is also obvious that Iran is no longer as isolated as it was. Surprisingly, Germany, France and the EU did not follow the appeals for increased sanctions. The European powers will invest in and invest in the country's natural resources. And on the Eurasian continent, Iran is not particularly isolated either – it has good contact with Russia, China and the other countries of the Shanghai Cooperation Organization.

The economic system. The political and economic system in Iran that emerged after the Khomeini revolution in 1979 is a special form of capitalism where the strategic key heights of the economy are controlled by the clergy. Islam's principles are being censored as guiding the economy – which means that it is forbidden to take interest on loans and engage in certain forms of financial speculation.

Iran's constitution divides the economy into three sectors: public sector, which includes the major industrial branches, banking, insurance, communications, foreign trade and public transport; cooperative sector, which includes the production and distribution of goods and services; and private sector, which includes all activity that complements the other two sectors. The Constitution also lays down some principles for the country's economy and financial system.

Iran has a five-year plan to set the framework for its economic development. So, in a sense, the country has a planning economy, where the historical inspiration obviously comes from the Soviet Union. About 60 percent of the economy is subject to a central plan. The Iranian banking and finance system has significant capital assets, and the financial system is controlled by the mullahs and their allies. President Rouhani stands for a more neoliberal economic policy and wants to liquidate a good portion of the subsidies. These are some of the things that have led to discontent and have fueled the protest movement. He has also initiated extensive privatization of state-owned enterprises with the aim of privatizing 20 percent of these each year.

Compared to the debate in the Norwegian parliament, the discussion in Iran's Majlis is at times quite fierce and resilient.

The political landscape. Of course, Iran is a dictatorship – in the sense that it is ultimately the supreme leader who decides all important issues. But that does not mean that there is no debate and criticism in the country. Compared to the debate in the Norwegian Parliament, the discussion in Iran's Majlis is at times both intense and resilient. Criticism is largely allowed – as long as one does not criticize Wali Faqih (senior leader).

Ever since the revolution, the political life in Iran has been divided between a left-wing side that wants more public intervention, a greater degree of nationalization and more of a welfare state, and a right-wing side with strong roots in the priesthood and among basari – the bazaar merchants – who have defended private property and insisted on privatization. Both wings have been against Western banking principles. Ayatollah Khomeini did not take a stand in this conflict, but during the war against Iraq, the need for stronger state governance became urgent – leading to the practice of state monopolies in banking, finance and foreign trade. There is also an opposition that wants the Shah regime back – not least among the upper middle class and among the bazaars.

Must arrange yourself. Iran is one of the few countries in Asia, Africa and Latin America that has never been colonized. Iranian culture has thousands of years of roots, and the country has a culture of science and research that is very deeply rooted. It is no easy task to tip Iran over to those who want it.

Iran needs a revolution to get rid of a reactionary and dictatorial priesthood, but if such a revolution is to succeed, it must come from within and distance itself from the imperialist forces that are constantly trying to undermine the country.

Pål Steigan
Pål Steigan
Steigan has its own blog on steigan.no.

You may also like