The gap within Iran’s ruling institutions is widening in an unprecedented way, after informed sources speaking to “Iran International” revealed acute tension between Iranian President Masoud Pezeshkian and the commander-in-chief of the Revolutionary Guard, Ahmad Vahidi, over the management of the war and its rapidly escalating repercussions on the economy and the livelihoods of Iranians.
According to those sources, the dispute is no longer confined to the details of managing operations or setting security priorities; it now touches the core of the relationship between the civilian government and the country’s most influential military institution, at a time when internal and external pressures are mounting and the state’s ability to contain the accumulating crises is declining.
Presidential Criticism and Ongoing Escalation
The information conveyed by the sources indicates that Pezeshkian directed direct criticism at the Revolutionary Guard’s approach to the ongoing escalation and attacks on neighboring countries, warning that continuing down this path would increase the economic cost and lead to even greater paralysis in the state’s financial conditions and living standards.

According to the same sources, the Iranian president expressed clear concern over the war’s devastating repercussions on citizens’ lives, amid growing signs of market disruption, faltering services, and eroding purchasing power, threatening further social unrest if the situation continues as it is.
On March 7, Pezeshkian appeared in a video message in which he apologized for what he described as “shoot-at-will” attacks carried out by the Iranian armed forces against neighboring countries, ordering these operations to stop.
Military Decisions Bypass the Presidency
However, the sources confirm that the strikes stopped only briefly, reflecting the presidency’s limited ability to impose its directives in the face of military decision-making, while also showing the extent of the divergence between the executive authority’s rhetoric and the conduct of the armed institution that holds the reins of the country’s security and military decisions.
According to the sources, Pezeshkian called for some executive and administrative powers to be returned to the government, in an attempt to restore a minimum capacity to run the state and ease the accelerating collapse in vital sectors. However, this proposal was met with firm rejection from Vahidi, who held the government responsible for the current state of affairs, arguing that its failure to implement structural reforms before the outbreak of the conflict contributed to deepening the crisis. At its core, this exchange reflects a broader struggle over who bears the cost of the war and who pays its political and economic price, at a time when the room for maneuver is shrinking for both sides.
Fears of a rapid economic collapse are growing the longer the war drags on. The sources cited by “Iran International” warned that the absence of a ceasefire could leave the Iranian economy facing total collapse within just three weeks to one month, an assessment that reflects the fragility of the financial situation and the widening scope of disruption in essential sectors.
An Economy Staggering Under Pressure
Indicators on the ground show the depth of the crisis, with complaints of a lack of cash in a number of ATMs, their malfunction, and difficulty accessing them, in addition to repeated disruptions in online banking services at major banks, including Bank Melli.

Government employees also reported that the salaries and benefits of broad segments of workers have not been paid regularly over the past three months, adding a new burden to the suffering of Iranian families.
Against the backdrop of this situation, average inflation for essential goods in February had reached triple-digit levels, ranging according to estimates between 105 and 115 percent. This makes clear that the war has not merely widened the political impasse, but has also accelerated the collapse of the state’s economic capacity and pushed the dispute within the corridors of power to the forefront in a sharper and clearer way.
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