Iran solicits donations for Lebanon despite economic doldrums

A banner displayed in Tehran calls on citizens to sponsor war-affected Lebanese families by sending an SMS to a specific number.
A banner displayed in Tehran calls on citizens to sponsor war-affected Lebanese families by sending an SMS to a specific number.

Iran is imploring citizens to mine mostly empty pockets for Lebanon despite five years of 40% annual inflation and a spiraling currency crisis as Hezbollah militants backed by the Islamic Republic take heavy blows from archenemy Israel.

Over the past week, banners and messages have appeared on highways and over bridges across Tehran urging people to donate to war-affected Lebanese. Iran's Islamic Revolutionary Guard Corps established Hezbollah in 1982 and has heavily armed and funded the group in the decades after.

The fundraising campaign comes as Iran’s own economy is under pressure, with inflation and the rising cost of living taking a toll on livelihoods.

While the level of Iranian assistance to Hezbollah has fluctuated over the years, US officials estimated in 2018 that Iran transfers around $700 million annually to Hezbollah.

A banner in Tehran asked citizens to send an SMS to express readiness to donate to Lebanese while similar campaigns on state TV and through text messages from the paramilitary Basij group encourage people to donate cash, gold, or even to financially sponsor a Lebanese family.

The efforts have drawn criticism from ordinary Iranians, who feel that the government is prioritizing foreign interests over domestic needs.

“It was revealed that the Islamic Republic was sending funds of 50 million dollars per month to support this group," Ali Shirazi, an Iranian journalist, told Iran International TV.

"But this is not the only expense. Military, weaponry, drones, and missile assistance are also provided, and the reconstruction of damaged buildings falls on Iran’s budget,” he added.

Iran's financial and military support for Hezbollah has come under more scrutiny following Israeli strikes on Hezbollah-linked financial institutions, including the Al-Qard al-Hasan bank in Beirut which may have disrupted Hezbollah's access to funds.

Debris lies at the site of a damaged branch of Al-Qard al-Hassan', a financial institution linked to Lebanon's Hezbollah in Beirut suburbs, Lebanon, October 21, 2024.
Debris lies at the site of a damaged branch of Al-Qard al-Hassan', a financial institution linked to Lebanon's Hezbollah in Beirut suburbs, Lebanon, October 21, 2024.

"Bunch of freeloaders"

Discontent with the donations campaign is evident among Iranians, many of whom expressed their frustration to Iran International via messaging apps which protect their anonymity.

“The rise in currency exchange rates, the dollar, and the increasing prices of gold have had a very negative impact, destroying the weaker and lower-income classes,” a Tehran resident said.

“People are now finding their food in garbage bins. More than two million students couldn’t attend school this year,” he added.

Others called for redirecting funds towards addressing domestic issues rather than supporting foreign militant groups.

“If we want to help, we prefer to support our fellow compatriots, especially those in need in provinces like Sistan and Baluchestan, rather than sending money to Hamas and Hezbollah,” said a businessman from the northern city of Rasht.

The government’s push for donations was described as out of touch with the reality faced by most Iranians. “For 45 years, we haven’t heard any good news from the media. If the money spent on Lebanon, Syria, and Palestine were spent in Iran, everything would flourish,” commented another citizen.

As inflation continues to rise, with the US dollar trading at 690,000 rials and predictions of further price increases by the end of the year, Iranians are strained.

“I don’t know how long we have to pay the price for Hassan Nasrallah, Ismail Haniyeh and a bunch of freeloaders," a retired citizen said referring to slain Hezbollah and Hamas leaders, "but the impact it’s had has paralyzed everyone’s lives".