Iran's military Prime Minister has resigned in an effort to solve the country's deepening crisis. Official radio broadcasts said on Monday (1 January) that the Shah of Iran had accepted the resignation of General Gholam Reza Azhari. General Azhari was appointed Prime Minister last November to stamp out the mounting anti-Shah violence which is still seeping Iran. The Shah is reported to have asked General Azhari to stay on until another Cabinet is formed. On Monday (1 January), the Shah made a rare public appearance and strolled through the grounds of his palace in Teheran with his wife, the Empress Farah.

SYNOPSIS: BBC reporter, Simon Dring, asked the Shah whether he had any holiday plans this year.

Iran's oil fields, the country's only major source of wealth, have been crippled by protest strikes. After serious clashes on Sunday (31 December), in the south-western oil city of Ahvaz, foreign oil technicians continued to leave Iran on flights laid on by their companies. Ahvaz was rocked by rioting recently, and Iran is reported to have enough petrol to last about a week. NBC's Jim Bitterman reports on the strikes which have virtually brought Iran's economy to its knees.