Iranian Rial Hits New Low of 2 Million per Dollar on Free Market

Reports from Iran's free currency market indicate that the exchange rate has crossed the threshold of 2 million rials to one US dollar. This figure represents a decline of over 45% since the beginning of the year and a 300% increase in the dollar's value against the rial since the start of 2024. This devaluation occurs amid heightened geopolitical tensions and ongoing US economic sanctions. In contrast, the Central Bank of Iran continues to maintain an official exchange rate of approximately 1.37 million rials per dollar, a figure that remains disconnected from the realities of the free market. Economic analysts note that this collapse in currency value has triggered sharp inflation, significantly increasing the cost of basic food items, medicine, and household goods, while severely eroding the purchasing power of Iranian citizens.