Iranian Rial Hits Record Low Amid Economic Crisis

The Iranian rial has hit a new record low against the US dollar due to severe economic pressure from US sanctions and a naval blockade. The currency's prolonged decline has seen it lose more than half of its value over the past year.

In an effort to stabilize the market, Iran's central bank plans to provide up to $2 billion in support for the rial. State-owned banks have begun selling dollars at a rate of 2.688 million Iranian rials per dollar in the open market.

Mehdi Darabi, an adviser to the governor of Iran's central bank on foreign exchange affairs, attributed part of the decline to statements by US officials about a possible collapse of the Iranian economy. He termed the latest fall as 'temporary', suggesting that predictions of economic collapse are increasing pressure on the market.