The political transition in Iran has entered a volatile new phase following the state funeral of former Supreme Leader Ali Khamenei, with reports indicating that the battle for influence within the regime is only beginning.
The six-day mourning period, which concluded with Khamenei’s burial in late February, has not stabilized the country’s leadership structure but rather exposed deep fractures among hardline factions and military elites.
According to analysis from Delo, the role of the Supreme Leader is expected to diminish in practice, even as Mojtaba Khamenei assumes the title.
This shift suggests a more fragmented decision-making process in Tehran, potentially complicating diplomatic engagements and increasing the unpredictability of Iran’s foreign policy.
The incoming leader has already signaled a hardening stance, vowing retribution for his father’s assassination and warning the United States and Israel against military action during the funeral period.
For markets, the lack of a clear, unified command structure in Iran heightens geopolitical risk.