Iran’s Currency Falls Once Again
Iranian currency has fallen against the dollar for the fourth consecutive time and was traded today, September 10, at more that 26,000 rials per dollar.
Meanwhile the official bank rate for the dollar remains at 12,260 rials, and the administration has been silent about the extreme fluctuations in the currency market.
The head of Parliament’s Budgeting Commission, Gholamreza Mesbahi Moghaddam, has told the Fars News Agency that the Central Bank has stopped providing foreign currency for the market, and he blamed the policy for the sudden rise in the rate of exchange.
Following the intensification of sanctions on Iran, the rial has been experiencing sudden fluctuations since last December. The Central Bank had tried to calm the market by injecting foreign currency, which appeared to have some early success but soon proved to be ineffective.
While the strengthening of sanctions appears to have triggered the fall of the rial, many experts argue that it has only exacerbated years of misguided economic policies adopted by the Ahmadinejad administration.