As two of the original officers of the velayat-e faqih operation from the outset of Ayatollah Khomeini’s tenure, Ali Khamenei and Hashemi Rafsanjani understood, as few others did, the dynamic nature of the revolutionary enterprise. Both recognized that the Islamic Republic would not long survive without continually demanding respect and pursuing influence externally while requiring sacrifice and enforcing subservience internally. In 1989, after Ali Khamenei succeeded Khomeini, Rafsanjani worked in partnership with the new supreme leader to enhance the authority of the office as compensation for his lack of religious and political stature and charisma.

The velayat-e faqih has always operated on two fronts. Domestically, it maintains a focus on image-building propaganda for the leader of the revolution, ever promoting the stature of its “heroic” godfather, Ayatollah Khomeini. Propaganda is used to rally and unify the Revolutionary Guards, mobilize paramilitary forces such as the Basij for public crackdowns, and organize the religious sector across the nation for Friday prayers in accordance with prescribed policy themes.

Internationally, the office sustains the narrative of leadership over Shia Muslims around the region, and the Islamic world generally. Khomeini’s mantra that the new Islamic republic would conquer “Quds via Karbala” makes clear that he set out to create a dominion of influence unbounded by Iran’s borders. As the embodiment of the Twelfth Imam succeeding the Prophet Muhammad, Iran’s Supreme Leader poses a challenge to the Sunni world, asserting its own claim to Islam’s most holy sites in defiance of the Saudi king (“Guardian of the Two Holy Mosques” at Mecca and Medina) and the Hashemites of Jordan, who trace their lineage to the Prophet and are considered the overseers of the Al Aqsa mosque in Quds (Jerusalem), Islam’s third holiest site.

In both its internal and external dimensions, the revolutionary project spawned by Khomeini has confounded Western efforts to understand it, and thus to engage diplomatically with confidence in a predictable outcome. Why did the clerical regime from its earliest years, consumed with extinguishing democratic impulses at home and repelling Iraq’s incursions on their shared border, repeatedly target U.S. and European forces, embassies, hostages and airline passengers, starting in Lebanon? What was the purpose of arming and supporting proxy nonstate militias abroad and staging spectacular acts of terror as far afield as Argentina?

While Iran’s abuse of sovereign privilege—running terror operations under the cover of diplomatic secrecy and immunity in such capitals as Ankara, Damascus, Bonn and Buenos Aires—has long branded it a serial violator of international law and norms, these hostile acts abroad are better understood for their intended effect on regime cohesion and the loyalty of its footsoldiers, as manifestations of Khomeini’s bast doctrine, his unique theory of empowerment through religious extremism, pursued at the direct expense of the Westphalian system.

The one goal the international community has sought in all its dealings with Tehran—a readiness to adhere to accepted norms of state conduct, including respect for universally recognized rights at home—is the very condition that the Islamic Republic of Iran could least tolerate. The acceleration of both bast and hefz since 2013 under President Rouhani, at the same time that Iran was garnering international goodwill, relief from economic sanctions and legal recognition of its nuclear rights at the negotiating table, may have been a response to popular discontent inside Iran. It was not, however, a move toward any version of reform that would comport with American principles or ideals.

Signs of Failure and Desperation

A compelling case can be made, and should be the subject of policy debate today, that Iran’s exertions around the Middle East are falling well short of Khomeini’s doctrinal requirements calling for export of its revolution and leadership of the Muslim world against the West, particularly the United States. In 2016, much of the Muslim world rejects Iran’s brand of revolution. Even the fifty-seven-member Organization of Islamic Cooperation has formally “deplored Iran's interference in the internal affairs of the States of the region and other member states. . . and its continued support for terrorism.”

With the exceptions of Syria’s secular dictatorship and some Shia factions in Iraq, states surrounding Iran continue to defy and resist Tehran’s pretensions of religious hegemony. Tehran’s overt attempts to influence Shia populations within Arab Gulf states have only served to poison relations with those governments, which to date have refrained from reciprocal meddling on behalf of 18 million Sunni Iranians, to whom the mullahs have denied a single mosque. Influential Shia figures, including Ayatollah Sistani in Iraq, refuse to accept the system of velayat-e faqih or endorse Khamenei’s leadership among Muslims. Iran’s funding, training and sponsoring of warring factions in Iraq, Syria, Yemen and Afghanistan could as rightfully be assessed a losing as a winning effort by the regime’s own metrics.

The costs of these campaigns, particularly casualties suffered by the IRGC and the Quds Force, which have struggled to replenish their ranks and their leadership cadres from today’s young generation, would likely prove unsustainable over time. Recent losses reportedly suffered by the IRGC along the Iran-Iraq border, and claims by the Democratic Party of Iranian Kurdistan and the Kurdistan Freedom Party that they have recently resumed “armed resistance” against the revolutionary republic, reinforce perceptions that the momentum of the ambitious crusade launched thirty-seven years ago by Khomeini is now in retreat.

The supreme leader’s office has therefore viewed the nuclear weapons program as a game-changing substitute for Tehran’s unproductive paramilitary efforts—hence Khamenei’s denial (without further explanation) that the JCPOA leaves Iran stripped of nuclear deterrence. In recent years his office has lauded the “jihad spirit” of Iran’s nuclear scientists in their drive to stand up to foreign powers “like a lion.” He earlier declared the program an essential aspect of Iran’s “national identity” and “dignity,” all part of a narrative intended to compensate for, and obscure, Khamenei’s diminishing power at home and in the region.

Recall that the nuclear program began during Rafsanjani’s presidency; it was institutionalized during Khatami’s time, and expanded to a multitrack program during Ahmadinejad’s presidency. Whatever Washington analysts may believe about the June 2013 elections, the clerics made clear months beforehand that they would “engineer” the electoral process to succeed Ahmadinejad. Khamenei’s expectation of his one-time nuclear negotiator, Hassan Rouhani, was that he would deliver the program despite all the external and internal pressures.

Rouhani’s pursuit of a nuclear deal entailing sanctions relief, far from representing a policy split from Khamenei’s embrace of the nuclear program, was done with the supreme leader’s full support. While the P5+1 secured arrangements to inhibit and detect any near-term nuclear weapons breakout efforts by Iran, the many statements by Khamenei are consistent with the conclusion that Rouhani’s diplomatic approach was deemed more likely to enable the Islamic Republic to maintain the posture of nuclear deterrence than a policy of escalating confrontation and defiance of the West.

Two years of high diplomacy—extended repeatedly without complaint from any side, despite the absence of agreement—by the regime, sharing the global spotlight with the world’s leading powers, rehabilitated Iran’s image after a period of growing isolation, threats of military confrontation and, yes, economic pain from targeted sanctions, falling oil prices and a weakening currency in 2012. Such considerations lay behind Iran’s success in shaping the JCPOA as a nonbinding agreement in which the language and process to enable the “snap-back” of sanctions is convoluted—the term never appears—and thus hard to portray within Iran as a concession.

At the same time he was calling publicly for “heroic flexibility” in Iran’s foreign policy, Khamenei clearly intended that Rouhani and Iran’s negotiators secure the maximum flexibility to continue the militarization of the nuclear program, including ballistic missile development, as was seen with the March 2016 missile tests. While the United States responded by sanctioning the IRGC Aerospace and Missile Force, and Secretary Kerry suggested a new arrangement with Iran to address concerns about the missile tests, Foreign Minister Zarif called his complaints “baseless”; Defense Minister Hossein Dehghan called them “nonsense.” The commander of the missile force claimed that the U.S. government had quietly urged Iran not to publicize its missile tests, presumably to avoid complicating the larger relationship.

Regime Preservation or Change from Within?

If Iran’s strategic behavior, in Under Secretary Shannon’s parlance, is not fundamentally different under either hard-line or “reformist” management, what to make of the factional differences within the regime? Khamenei’s focus has been on hefz and the sustainment of Iran’s nuclear and conventional military modernization programs. For self-proclaimed reformers, including Rouhani and Rafsanjani, the priority order is the reverse. Their view is that by easing international sanctions they can better defuse the public’s push for meaningful political reform and thereby preserve the system of velayat-e faqih.

Rouhani, like Khatami before him, has pledged domestic reform yet presided over repression. Even his explicit 2013 pledge, to release from house arrest the leaders of the Green uprising and all who were imprisoned following the 2009 protests within one year, has gone unfulfilled years later. While the regime’s internal fissures may inspire hope in the West for positive change, the evidence for that is lacking.