Nuclear Issues

If the intended aim of the new round of U.S. sanctions were to change Iran’s behavior, it already has. Just not the behavior the Trump team had in mind—Iran abandoning its pursuit of pro-market economic reforms. President Hassan Rouhani, who was elected twice, in 2013 and 2017, on a platform of liberal economic reforms, has piece by piece put aside his reform agenda. Because of the economic havoc wreaked by the re-imposition of U.S. sanctions, he finds himself in the odd position of overseeing price controls, punishing commodity hoarders, subsidizing imports of a variety of goods, including mobile phones, and has lost the most liberal members of his economic team

Although Rouhani has an incumbent’s advantage, his promised economic revival is seen by many as having fallen short of his stated goals, and he has been the target of unceasing and strong allegations of corruption. Despite the fact that every Iranian president in the post-Khomeini period has served two terms, why is Rouhani in a precarious position? And what are the factors that anti-Rouhani forces are trying to use to their advantage? In an article to The National Interest, Payam Mohseni, Director of the Belfer Center's Iran Project, shows that recalling the lessons of the 2005 election, which brought Mahmoud Ahmadinejad to power, serves as a useful model in understanding this year’s contest and the challenges Rouhani faces in maintaining power.

Djavad Salehi-Isfahani, visiting scholar at the Belfer Center's Iran Project, sheds light on some of the most important economic topics relevant to the 2017 Iranian presidential election. 

In 2006, in the midst of a fierce war between Israel and the Lebanese militant group Hezbollah, former U.S. Secretary of State Condoleezza Rice famously stated that the world was witnessing the “birth pangs of a new Middle East.” She was right—but not in the sense she had hoped. Instead of disempowering Hezbollah and its sponsor, Iran, the war only augmented the strength and prestige of what is known as the “axis of resistance,” a power bloc that includes Iran, Iraq, Syria, Hezbollah, and Hamas in Palestine.

With the successful implementation of the historic nuclear agreement between Iran and the P5+1, a new chapter has opened between Iran and the international community, including the United States. Nevertheless, the future path of bilateral relations between the United States and Iran is uncertain and many challenges exist as the two countries attempt to formulate new terms of engagement. What should U.S. policy be towards Iran after the nuclear agreement? Can the agree­ment open the door to effective collaboration on areas of mutual interest, especially given the rising security challenges and rapidly changing dynamics of the Middle East? Or, will strategic rivalries between Iran and the United States con­tinue to shape and impede cooperation?

This chapter explores the complexity of political processes in Iran and assesses the degree of change and continuity in the Iranian political system in light of the tumultuous events unfolding since 2009. Why have elite power relations in Iran been unsettled, and what is the impact of these factional fluctuations of power and processes of change on the institutional structure of the Iranian regime itself? It is critical to ask whether the manner by which institutional alteration occurs within the regime was conducive to the long-term monopolization of power by a single political faction. If so, has the multifactional and competitive nature of the regime been replaced by one of dictatorship, as may have appeared to be the case? Or, is the regime’s system of elite conflict management and institutional restraint a durable feature that will persist in the foreseeable future?

The dramatic seizure of American navy sailors in the Persian Gulf by the Iranian Revolutionary Guards could have endangeredImplementation Day—when on January 16 Iranian compliance with the nuclear agreement so far was verified and the international sanctions against Iran lifted. Instead of derailing the deal, however, the Guards used the incident, as well as the highly publicized prisoner swap, as symbolic events to send the world a message.By detaining the vessels and broadcasting images of its crew to a global audience, the Guards used the opportunity to reveal the future path of Iranian foreign policy in the wake of the nuclear agreement—a path that can be best described as ‘pragmatic revolutionism.’

Henry Rome shows how the Iranian press marked the anniversary of Ayatollah Khomeini’s return to Iran, as the country begins ten days of celebration leading up to the formal anniversary of the 1979 revolution.