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🔴 Breaking ❓ Unknown

An Opportunity to Remove Military from the Economy with the Parliament's Urgent Proposal

Jan 25, 2026 January 25, 2026 6 min read 📰 Radio Farda
📋 Key Takeaway

Ayatollah Khamenei acknowledged the economic crisis in Iran and endorsed solutions proposed by 38 economists, including the removal of military entities from economic activities. This endorsement presents a significant opportunity for the Iranian Parliament to enact reforms that could reshape the economic landscape and challenge military influence. The outcome could have profound implications for the balance of power between civil society and the political regime.

🔍 Quick Context Guide
💡 Bottom Line: The endorsement of removing military enterprises from the economy could lead to significant reforms.

👥 Key Players

Ayatollah Khamenei (آیت الله خامنه‌ای) ACTOR
Supreme Leader
"I thought almost all of their solutions were correct."
Guardian Council QUOTED
Judicial body
"Any bill passed by the Sixth Parliament for reforms was deemed contrary to Sharia and the Constitution by the Guardian Council and rejected."
38 economists ACTOR
Economic experts
"They listed the country's economic problems and also proposed solutions."
Ayatollah Hashemi Shahroudi (آیت الله هاشمی شاهرودی) QUOTED
Former head of the judiciary
"announced these rights of defendants and citizens to judges in a circular."
Islamic Revolutionary Guard Corps (IRGC) (سپاه پاسداران انقلاب اسلامی) AFFECTED
Military force
"the policy of the Islamic Republic in the entire Middle East and a large part of Africa is under the control of the Islamic Revolutionary Guard Corps (IRGC)."
Ministry of Foreign Affairs (وزارت امور خارجه) AFFECTED
Government department
"the Ministry of Foreign Affairs has no authority in this area."

⚡ Actions

Ayatollah Khamenei ANNOUNCE Iranian economy
"I thought almost all of their solutions were correct; these are the same things we have been repeating in our annual slogans for several years."
Confidence: 90%
38 economists PROPOSE Iranian government
"They proposed 20 solutions to exit this situation, one of which is the 'removal of all military enterprises and institutions from economic activities.'"
Confidence: 90%
Ayatollah Khamenei ENDORSE letter from 38 economists
"Following Ayatollah Khamenei's remarks, Fars News Agency published an article titled 'Which Letter Did the Leader Refer to Today?' stating that the Leader endorsed this letter."
Confidence: 90%

📰 What Happened

Ayatollah Khamenei endorsed economists' proposal to remove military from Iran's economy.

  • Ayatollah Khamenei announce Iranian economy
  • 38 economists propose Iranian government
  • Ayatollah Khamenei endorse letter from 38 economists

💡 Why It Matters

🇮🇷 For Iran: Because it addresses the structural economic issues exacerbated by military involvement.
🌍 Regional: Because it could shift Iran's military focus and influence in the Middle East.
🌐 International: Because it may affect Iran's relations with Western countries regarding economic sanctions.

📚 Background

The endorsement of removing military enterprises from the economy could lead to significant reforms.

📝 Key Evidence

"I thought almost all of their solutions were correct."
→ Khamenei's endorsement of the economists' proposals.
"removal of all military enterprises and institutions from economic activities."
→ The key proposal aimed at reforming the economy.
📡 Source: STATE MEDIA
📊 Confidence: 70%
Radio Farda is known for its opposition to the Iranian government.

In a speech on August 13, 2018, Ayatollah Khamenei described the dire economic situation and crippling sanctions, stating that there are no dead ends and solutions exist for all issues. He particularly emphasized economic crises and noted, "Recently, I saw about forty economic experts, some of whom are well-known, wrote a letter to the President; they listed the country's economic problems and also proposed solutions. I read the letter carefully and found it to be correct; I saw it was written out of concern. There are also those who do not oppose the government and the respected President; they are part of the same current that is fully present in the executive bodies today, but at the same time, they have accurately identified the structural problems of the economy and the existing issues affecting the country's economic movement, and they have written them down, providing 20 solutions. When I looked at them, I thought almost all of their solutions were correct; these are the same things we have been repeating in our annual slogans for several years; in the general policies that are communicated to the three branches, most of these - we won't say all - are things we have said; now these independent economists, who are knowledgeable and thoughtful, have said these; therefore, solutions exist... These solutions are available, and the officials can implement them." The letter from 38 economists was published on August 6, 2018. Following Ayatollah Khamenei's remarks, Fars News Agency published an article titled "Which Letter Did the Leader Refer to Today?" stating that the Leader endorsed this letter. They then republished all 20 of their solutions. These economists, after mentioning 29 characteristics of the existing unproductive and non-people-oriented economy, proposed 20 solutions to exit this situation, one of which is the "removal of all military enterprises and institutions from economic activities." A look at the experience of the Citizen Rights Law shows that during the reform period, the Guardian Council declared in an interpretative theory that judicial and criminal bills must be presented by the judiciary, and the executive branch has no authority in this regard. Any bill passed by the Sixth Parliament for reforms was deemed contrary to Sharia and the Constitution by the Guardian Council and rejected. Ayatollah Hashemi Shahroudi, the then-head of the judiciary, announced these rights of defendants and citizens to judges in a circular. The Sixth Parliament took advantage of the Guardian Council's interpretative theory and passed the same circular as the "Law on Respecting Legitimate Freedoms and Preserving Citizen Rights" with an urgency clause on May 4, 2004, and the Guardian Council approved it the next day. The structural reforms proposed by economists, based on Khamenei's endorsement, are also considered law by the Guardian Council regarding the resolutions of the Supreme Cultural Revolution Council appointed by the Leader. Now, given the endorsement of the 20 proposed solutions by 38 economists by the Supreme Leader, members of Parliament must seize the opportunity and convert these solutions into law with an urgency clause. In any case, the position of the Supreme Leader is higher and superior to that of the head of the judiciary, and according to the Guardian Council, all individuals and institutions derive their credibility and legitimacy from the Supreme Leader and his decrees. Perhaps the most important structural reform among these solutions is the prohibition of all military enterprises and institutions from any economic activity. The tenth solution also completely nullifies the Supreme Leader's authorization to the head of the judiciary for the opening of 36 accounts and the collection of large interests and their use. The twentieth solution returns foreign policy to the Ministry of Foreign Affairs. Currently, the policy of the Islamic Republic in the entire Middle East and a large part of Africa is under the control of the Islamic Revolutionary Guard Corps (IRGC), and the Ministry of Foreign Affairs has no authority in this area. This solution not only corrects this blatant violation but also calls for a foreign policy of de-escalation that would enable economic activity and growth. The economists' solutions are strongly against rent-seeking, corruption, and discrimination. If these solutions are approved by the Parliament, the Guardian Council has two options: to approve or reject. The Guardian Council, according to its interpretation, cannot oppose the views of the Supreme Leader and consider them contrary to Sharia or the Constitution. If the Guardian Council approves these solutions after the Parliament's approval, the IRGC and Basij and other military institutions must cease their extensive economic activities and also hand over foreign policy to the Ministry of Foreign Affairs. However, if the Guardian Council does not approve the economists' solutions that have become law, it will become clear that either Ali Khamenei has lied, or the Guardian Council and the IRGC and Basij have stood against the opinion of the Supreme Leader. In any case, the removal of the military from the economy has been a demand of all opponents of the Islamic Republic, critics, reformists, and even moderates, and Khamenei's remarks have provided an opportunity to realize this demand. By approving these solutions, the Parliament not only loses nothing but even if it does not achieve its goal, the cost will be borne by Ali Khamenei, the Guardian Council, and the IRGC and Basij. It will become clear that they have blocked even the path of economic reforms - according to the expert opinions of independent economists. It is evident that the IRGC is unwilling to leave the lucrative realm of the economy and relinquish control over foreign policy in the Middle East and Africa. All developments are the result of the balance of power between civil society and the political regime. If civil society is not strong enough to impose even seemingly approved economic reforms by the Supreme Leader on the political regime, then how do broader and more revolutionary goals align with the existing balance of power? If society and its social forces have become strong enough to surpass the established regime and replace it with another regime, they must be able to compel the regime to undertake structural economic reforms.

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Translated from the original and edited for English readers. View original source →

Translation confidence: 85%

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