US dollar hits another record against Iran's rial

Business Materials 5 September 2018 16:14 (UTC +04:00)

Baku, Azerbaijan, Sept. 5


The US dollar jumped to as much as 145,000 rials in the open market in the Iranian capital city of Tehran on Wednesday.

According to reports by Iranian media outlets, a US dollar and the euro, respectively, traded for 145,000 and 166,500 rials in the open market in the afternoon on Wednesday, Sept. 5.

Reportedly the US dollar also jumped to over 152,000 rials during the day before back down to 145,000 at free market.

It is while the official rate of the USD stands at 42,000 rials per each dollar. According to the country’s Central Bank website, the official rate for euro was 48.707 rials/1 euro.

A US dollar was worth 36,000 rials in mid-September last year.

One of the main reasons behind the recent fluctuations in Iran’s foreign exchange market is due to US President Donald Trump’s withdrawal from the 2015 nuclear deal between Tehran and world powers in May and the re-imposition of new sanctions.

The Trump administration has warned of consequences for countries including European allies that co-signed the nuclear accord, that do not respect the new sanctions.

On concerns over a return of sanctions, the rial plunged to an all-time low on April 9. In an attempt to stop the fall, the administration of President Hassan Rouhani held an emergency meeting and decided to unify the country’s official and open market exchange rates.

Following the meeting, the government announced the price of the dollar would be 42,000 rials in both markets, and for all business activities.