Irans Currency Hits Record Low Against Dollar Amid Rising Tensions

Iran’s Currency Hits Record Low Against US Dollar

The value of Iran’s currency, the rial, has reached a record low of 1,500,000 rials to one US dollar, according to several Iranian currency tracking websites. This latest dip comes weeks after protests sparked by the dwindling value of the rial, hyperinflation, and government decisions to end certain food and fuel subsidies.

Exchange shops in Tehran are currently offering this record-low rate, which is expected to further exacerbate economic hardship for many Iranians who have been struggling with decades of economic mismanagement and international sanctions. Central Bank Governor Abdolnaser Hemmati stated that the foreign exchange market is following its natural course.

Protests began in Tehran on December 28 and quickly spread across the country, with demonstrators demanding political change. The Iranian government responded with a violent crackdown, which has resulted in significant internet blackouts and a reported death toll of at least 3,117 people, according to official figures. Human rights activists have put the actual death toll at 5,777 protesters.

The US-based Human Rights Activists News Agency has verified this information through its network of activists in Iran. The situation remains tense, with the US President Donald Trump ordering a significant military buildup in the region and warning that diplomacy remains an option. Iranian-aligned armed groups have signaled their willingness to launch new attacks, while Gulf Arab states have expressed a desire to stay out of any conflict.

The Ministry of Foreign Affairs has promised a “comprehensive and regret-inducing response” if Iran is attacked. Top Iranian military figures have reiterated the country’s readiness to engage in another war with Israel and the US in case of an attack similar to June’s 12-day conflict.

Source: Al Jazeera