Iran’s currency has plunged to a record low against the US dollar as ongoing conflict and sanctions intensify pressure on the economy. The decline comes amid airstrikes and a tightening US naval blockade that have disrupted key economic activities. Citizens and businesses are facing rising inflation and financial instability.
The Iranian rial dropped to 1.81 million per US dollar on April 29 before slightly recovering the next day. According to local reports, the currency has lost nearly 15 percent of its value in recent days. The sharp fall reflects growing market uncertainty and reduced access to foreign currency.
Read more: Iran’s rial hits record low amid economic turmoil
The economic downturn follows airstrikes by the United States and Israel that began on February 28. In addition, a US naval blockade on Iranian ports has restricted oil exports and shipping activity. As a result, domestic production and trade flows have been significantly affected.
Inflation in Iran has also accelerated, rising to around 50 percent according to central bank data. Prices of essential goods such as rice, eggs, and chicken have surged sharply. Consequently, household purchasing power continues to decline across the country.
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The conflict has also impacted global energy markets after disruptions in the Strait of Hormuz. Oil prices have surged amid supply concerns, adding further pressure to the international economy. Meanwhile, tensions between Iran and Western countries remain high with no clear resolution in sight.