Security forces have declared a state of emergency in Tehran as businesses closed up and launched street protests just hours after the President declared all-out war with the West.

Masoud Pezeshkian, who clearly spoke with the blessing of Supreme Leader Ayatollah Ali Khamenei, said: “We are in a full-scale war with the US, Israel and Europe; they do not want our country to stand on its feet.”

But in the hours surrounding Pezeshkian’s shock claim Tehran was melting down internally as the capital’s commercial districts and bazaars closed without warning with workers taking to the streets to protest against soaring oppression and corruption and collapsing living standards across the country.

Chants taunting Khamenei’s hated theocratic regime included: “This year is the year of blood, Seyyed Ali (Khamenei) will be overthrown”, “death to the dictator”, and “Pezeshkian, have some shame—leave the country alone,” rang out in the streets.

The notorious Iranian Revolutionary Guard were so rattled they imposed a state of emergency across the city.

Despite the state of alert, the protests continued for the second day on Monday and expanded to new areas of Tehran.

According to the opposition National Council of Resistance of Iran, the IRGC units in the provinces of Mazandaran, Qom, and Semnan have been put on standby to be dispatched as reinforcements to Tehran.

Maryam Rajavi, head of the National Council of Resistance in Iran, said: “The rapid depreciation of the currency, soaring inflation, unprecedented recession, and systematic government discrimination and corruption have exasperated the overwhelming majority of the people of Iran. The only way is protest and resistance.”

Shockingly even the state-run Khabar Online website quoted state economists as saying: “The legitimacy of the Islamic Republic system has reached its historical low. Corruption has infiltrated all parts of the apparatus, in its gasoline distribution, value distribution, exports, and imports. There are no reliable, real statistics in any field. The Iranian nation is now plundered. Fully 40 percent of the total assets of Iran’s banking network are imaginary, meaning they do not exist.”

And Hossein Marashi, a former vice president of the regime, said: “For the past 20 years, Iran’s economy has been hostage to the nuclear issue.

“The 37 percent inflation rate at the end of March 2025 has now reached over 53 percent and will certainly exceed 55 percent by the end of the year.

“The food supply crisis has the potential to bring hungry people to the streets. The country is facing an unprecedented crisis.”

Experts say corruption and state-level mismanagement is now out of control and executions have hit levels not seen for 20 years as the regime attempts to terrify and subdue the people of Iran.

Khamenei’s regime killed 1,922 people this year – more than twice as many as last year, according to Human Rights Activists News Agency (HRANA).

The current protest by businesses and tradesmen is the latest iteration of disgust with the regime.

Earlier today Ms. Rajavi said: “Through their slogans, the protesters have pointed both to the root of the problem—the vile system of religious dictatorship—and to the solution, namely resistance and uprising.

“This reflects the anger of a people fed up with high prices, poverty, and the suppression of freedom under the mullahs’ rule, who are no longer willing to remain silent. I call on the general public, especially militant and rebellious youth, to show solidarity with and support the protesters.”