New US Sanctions Block Iranian Students from International English Tests, Deepening Educational and Economic Crises

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The combination of intensified sanctions directly impacting educational opportunities, severe economic hardship affecting daily life, and continued state repression of dissent creates a highly volatile and challenging environment for Iranian society.

📌 Key developments

• International Education Access Severely Restricted: Starting September 1, 2026, Duolingo will no longer accept Iranian-issued identity documents for its English Test, affecting Iranian citizens globally. This follows the US Treasury's late August suspension of a general license that previously allowed educational exchanges and standardized tests like TOEFL and GRE for Iranians. In practical terms, this means thousands of Iranian students, particularly those seeking higher education abroad, will face significant hurdles in meeting English language proficiency requirements for university applications. This policy is based on identity documents, not geographic location, making it impossible to bypass by traveling or using VPNs. This development is immediate and will directly impact current and prospective students, potentially leading to a more isolated academic environment for Iranians and a further 'brain drain' as those with existing scores or alternative pathways seek to leave.
• Deepening Economic Hardship Impacts Daily Life: Iran continues to grapple with severe economic distress, with inflation and sanctions pushing many families towards the poverty line. A previously 'wealthy poor' class, accustomed to a higher standard of living, is now struggling with basic necessities. Over one million Iranians have reportedly lost their jobs due to factory closures and infrastructure damage. President Masoud Pezeshkian recently apologized for these problems, attributing them to an 'all-out war.' This ongoing economic pressure means that ordinary Iranians face increasing difficulty in affording food and maintaining their quality of life, which could fuel further social discontent.
• [Aug 29] Female Protesters Flogged and Imprisoned: Neda Dadehjani and Setayesh Sarabi, two female protesters from Qorveh, were flogged 31 times each on August 22, 2026, and subsequently transferred to Sanandaj Prison to serve sentences for their involvement in the January 2026 nationwide protests. This action demonstrates the Iranian authorities' continued harsh crackdown on dissent, particularly targeting women who participate in anti-government demonstrations. It serves as a stark warning to others considering protest and highlights the severe personal consequences faced by activists.
• [Aug 24] Ongoing Tensions Over Mandatory Hijab Enforcement: A cultural divide persists in Iran regarding the mandatory wearing of the hijab. While many Iranian women are openly defying the rule, authorities are currently hesitant to launch a full-scale crackdown, prioritizing the ongoing conflict with the US and economic challenges. However, hardliners are increasingly demanding stricter enforcement, and state media continues to report on the closure of businesses for failing to adhere to clothing regulations. This indicates a simmering social tension that could escalate if authorities decide to intensify enforcement, potentially leading to renewed protests or further restrictions on women's daily lives.
• [Aug 19] Healthcare Workers Protest Livelihood and Structural Crises: Healthcare staff protested outside the Ministry of Health in Tehran on August 17, 2026, highlighting severe economic hardship and unfair wage structures, including low base salaries and unpaid claims for doctors and nurses. This ongoing discontent among essential workers, despite earlier government efforts to stabilize healthcare post-conflict, points to deep-seated structural issues and financial strain within the health system. It means that the quality and accessibility of medical services for ordinary people are at risk due to a demoralized and underpaid workforce, impacting public health outcomes, especially given existing challenges like air pollution and sanctions hindering medicine imports.

💡 Why it matters

For analysts and policymakers, these developments indicate a tightening squeeze on Iranian society, potentially exacerbating social unrest and further isolating Iran's youth and educated population. The escalating economic hardship could fuel future protests, while the educational restrictions risk a 'brain drain' or a more insular society. The government's continued focus on 'social cohesion' amidst these pressures suggests an awareness of internal fragilities.

🎭 People in the news

• Neda Dadehjani — An artist and puppeteer, flogged and imprisoned for participating in the January 2026 protests.
• Setayesh Sarabi — A female protester, flogged and imprisoned for participating in the January 2026 protests.
• Masoud Pezeshkian — Iranian President, who apologized for the economic problems, attributing them to an 'all-out war.'
• Ayatollah Seyyed Mojtaba Hosseini Khamenei — Leader of the Islamic Revolution, who called for unity and resistance against economic blockades and for safeguarding domestic social cohesion.

👀 What to watch

• Any official reactions from Iranian educational institutions or government bodies to the Duolingo ban and broader educational sanctions.
• Reports on the implementation of the Duolingo ban and its immediate impact on students attempting to register or verify identity.
• Further statements or actions from the US Treasury regarding additional sanctions.