Dollar Hits Record High as Iran's Rial Continues to Plunge

The Iranian rial has been battered in recent weeks as foreign exchange and gold prices continue to surge. The US dollar hit a new high of 213,770 Tomans on September 1, 2026, while the euro climbed to 247,890 Tomans and the British pound rose to 289,250 Tomans.

The Central Bank of the Islamic Republic of Iran made $500 million in physical banknotes available through the banking network starting August 25, but this move has had little impact on market prices. In fact, during the first three days of the plan, only about $20 million of the allocated capacity was purchased, leaving roughly $480 million unclaimed.

Abdolnaser Hemmati, Governor of the Central Bank, attributed the recent dollar surge to a 'psychological and promotional atmosphere', declaring the bank's readiness to inject up to $2 billion into the market. However, state media has framed these figures as proof that official supply exceeds demand.