Iranian Rial Hits New Low Amid Economic Turmoil

The Iranian rial hit a new low on Saturday, as the central bank took steps to stabilize the currency amid economic turmoil. The bank injected up to $2 billion into the market to shore up the rial, which has lost more than half its value over the past year. The US dollar's exchange rate reached around 2.688 million rials, up from 2.632 million the day before, according to tracking website bon-bast.com.

The economic strain is exacerbated by US sanctions and a naval blockade, which has severely impacted Iran's oil exports. Inflation has surged past 70 percent, making basic necessities and rent unaffordable for many citizens. In response, Iranians are increasingly turning to dollars, other hard currencies, or gold to safeguard their savings.

Mehdi Darabi, an aide to the central bank's governor on foreign exchange affairs, attributed the rial's decline partly to what he described as false predictions by US officials about the imminent collapse of Iran's economy. Speaking on state TV, Darabi claimed that these predictions were being used to manipulate the currency's exchange rate, asserting that the current drop was only temporary.