Overview
- The rial traded around 2.00–2.02 million to the U.S. dollar on Monday on informal markets, a fall that equals roughly 43–50% since January and more than 50% year‑on‑year in some accounts.
- U.S. Treasury Secretary Scott Bessent has signalled an imminent, major sanctions campaign described as an unprecedented financial offensive that market participants say is worsening Iran’s access to dollars.
- Iran’s central bank governor reported that oil export revenue has effectively fallen to zero, leaving reserves constrained and limiting the government’s ability to intervene in currency markets.
- The sharp depreciation is fuelling runaway inflation and soaring food prices, accelerating capital flight as households convert savings into dollars and gold to preserve value.
- Tehran approved a mid‑August plan to remove four zeros from the rial, a move seen by analysts as cosmetic that does not restore lost foreign revenue and could raise the risk of further social unrest and regional trade disruptions.