Friday, March 3, 2023

Public Anger Rises As Iranian Currency Hits New Lows

A currency dealer poses for a photo with a U.S dollar bill and the amount being given when converting it into Iranian rials in an exchange shop in Tehran in December 2022.  

Reuters: Iran rial plunges to new lows amid unrest, international isolation 

Iran's currency fell to a record low against the U.S. dollar on the unofficial market on Sunday, amid the country's increasing isolation over its disputed nuclear programme, human rights violations and the supply of drones to Russia. 

The U.S. dollar was fetching as much as 601,500 rials on Iran's unofficial market on Sunday, compared with 575,000 on the previous day and 540,000 on Friday, according to foreign exchange site Bonbast.com. 

Iranian authorities have blamed the currency's fall on "the enemies' plot" to destabilise the Islamic Republic after months of unrest sparked by the death in custody of a young woman on Sept. 16. 

The rial has lost nearly half of its value since the start of nationwide protests, the boldest challenge to theocratic rule since the 1979 Islamic Revolution. 

Read more ....  

Update #1: Iran’s currency hits new low amid anti-government protests (AP)  

Update #2: Free-falling rial leaves Iranians worried about financial future (Al Jazeera)  

WNU Editor: The Iranian government is in a Catch-22 situation. The government provides subsidies and support programs that are not sustainable, but cutting these programs will only fuel more protests. Here is an easy prediction. Currency depreciation and high inflation are not coming down anytime soon.

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