Iran's currency hits new low amid anti-government protests

Iran's currency fell to a record low against the dollar on Sunday, with nationwide anti-government protests now in their fifth month. A breakdown in negotiations to restore Tehran's nuclear deal has also hurt the value of the rial.

Traders in Tehran were exchanging the rial at around 600,000 to the dollar on Sunday, after the currency plunged further from 500,000 rials for USD 1 on Wednesday.

Iran's currency was trading at 32,000 rials to the dollar at the time of the 2015 nuclear accord that lifted international sanctions on Tehran in exchange for tight controls on Iran's nuclear programme. It was trading at 100 rials to the dollar in 1979 when the Islamic Revolution the West-back monarchy of Shah Mohammad Reza Pahlavi.

Iran's statistics centre said last week that the inflation rate reached 53.4 in January. It was 41.4 in January 2021, two years ago.

Iran has been gripped by nationwide protests since September. Demonstrations broke out following the death of 22-year-old Mahsa Amini in the custody of the country's morality police. She was detained by the force for allegedly violating the Islamic Republic's strict dress code for women.