Iran is currency, Rial, hit a historic low against the U.S. dollar on Sunday as its international standing continues to suffer due to its nuclear program controversy, human rights abuses, and unauthorized drone exports.
Iran’s Rial Leaders Blame “The Enemy” for Economy
On Sunday, the U.S. dollar was being exchanged for 601,500 Iranian rials on the unofficial market, according to Bonbast.com – a significant jump from 575,000 and 540,000 in previous days, respectively. The rial has plummeted nearly 50% since nationwide protests began after a young woman’s death in custody back on September 16th; authorities suspect that “the enemies” are plotting to overthrow Iran‘s Islamic Republic, using this as an opportunity for destabilization through currency devaluation.
Despite demonstrations in Sunni-dominated sections of Iran continuing, the government’s brutal response to protestors has led to unrest dwindling across other areas of the nation over recent weeks.
Clergy Fears Economic Hardship Will Increase Protests
The clerical establishment is worried that deteriorating economic conditions could induce more demonstrations in Iran as the country experiences growing Western scrutiny on matters such as its “brutal” suppression of dissent, controversial nuclear program, and the conflict in Ukraine, where many Western countries claim Russia has utilized Iranian drones. Nevertheless, Tehran insists it isn’t providing any unmanned aerial vehicles to Moscow for use in Ukraine’s battle.
As talks related to salvaging the 2015 nuclear agreement with world powers have not been produced since last year, there is now a much lower chance of preserving it. This could consequently result in Washington’s economically crippling sanctions that were put into place when they withdrew from the pact two years ago, continuing to debilitate Iran’s economy.
Currency And Gold Are Quite Popular with Iranian People Because Of the Inflation
As the Iranian economy plummets, citizens have been turning to foreign currencies, like the dollar, and gold, instead of the Rial, to ensure their savings remain safe. To combat this development and instill confidence in the market again, Iran’s central bank eliminated its restriction on private currency exchange shops, so they are free to sell hard currencies once more.
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