The Iranian rial has fallen to historic lows against the US dollar as widespread protests continue amid a deepening economic crisis.
Neil Wilson of Saxo UK described the currency as having effectively lost its value. He said the combination of severe internal instability, proximity to economic collapse, and the effective strangulation of oil exports means the rial now has little meaningful worth.
According to Mr Wilson, the currency’s collapse is emblematic of the broader economic distress driving the recent unrest, with hyperinflation further compounding pressures on the regime. He added that the situation appears to go beyond the scope of currency re-denomination, which is often used as a temporary remedy during periods of hyperinflation.
With Iran increasingly isolated and limited in its ability to trade internationally beyond China and Russia, Mr Wilson argued that the rial is effectively worthless in global financial markets. He concluded that a path to stabilisation remains unclear while political instability and civil unrest persist.
Donald Trump tells Iran ‘help is on its way’. Donald Trump urged Iranians to “take over your institutions” as Iran continued to be shaken by widespread protests against the ruling regime. The US president called on demonstrators to “save the names of the killers and abusers” after an Iranian official told Reuters that the death toll had risen to around 2,000 people.
