Iranian Rial Hits Record Low of 1.8 Million Per Dollar Amid Middle East War

Amid the ongoing war in the Middle East, the value of Iran's official currency, the rial, hit an all-time low on April 29 (local time), falling to 1.8 million rials per dollar.

Since the war began on February 28, the exchange rate of the rial had remained relatively stable. However, the Associated Press reported that the rial, which had already shown signs of decline two days prior, ultimately plunged to a record low on this day.

This currency crisis marks the second surge in the exchange rate within just a few months, following the monetary turmoil that triggered large-scale anti-government protests in January. At that time, the rial soared from 1.4 million to 1.6 million per dollar in less than a week.

The collapse in the value of the rial is expected to further fuel inflation in Iran. Given Iran’s heavy dependence on imports for everything from daily necessities and electronics to industrial raw materials, fluctuations in the dollar exchange rate can immediately impact prices. In addition, U.S. forces have blocked or seized Iran’s oil export routes, disrupting crude oil sales—the government’s key source of foreign currency revenue.

This content was produced with the assistance of AI translation services.