Iranian Rial Crashes to New Low as US Prepares More Sanctions

Iran's currency has hit a new record low as the US prepares to announce more sanctions. The rial dropped to 2.02 million to the US dollar on informal markets, while the official Central Bank rate stood at around 1.5 million rials to the dollar.

The decline in the value of the rial has been exacerbated by nearly six months of war with the US and Israel, which began in February after an attack on Iranian targets. The conflict has led to double-digit inflation and negative economic growth.

US Treasury Secretary Scott Bessent warned that new sanctions would be announced soon, including secondary sanctions on countries that continue to do business with Iran. This comes after the UAE suspended all trade with Iran last week, citing US pressure.