As inflation nears 90%, state-backed banks have stepped in to inject up to two billion dollars in an urgent defense of the collapsing market.
Banks Pump Two Billion Dollars Into Market
Free-market trackers and international wire services documented the parallel figures underlying the collapse.
Economists note that while this liquidity injection aims to slow the depreciation, it shows the severe strain on monetary authorities who face dwindling hard-currency reserves and restricted petroleum earnings.
Sanctions Drive Currency Below Budget Goals
While some reports cite inflation surpassing 70%, other domestic data points place the figure as high as 90%, forcing households to face daily price increases and a severe erosion of personal savings.
Citizens seeking shelter from the devaluation have turned aggressively toward foreign currencies and gold bullion as safe havens, driving domestic demand for hard assets even higher. Workshops and factories face operational roadblocks that have forced some employers to lay off workers, heaping additional strain onto the labor market.
Iranian authorities attribute the downward trajectory to a combination of tightening American sanctions, maritime blockades stifling oil exports, and restricted trade flows. Government planners who initially anticipated an 8% economic growth rate in the national budget now confront negative growth numbers as foreign currency pipelines dry up.
Pezeshkian Holds Emergency Crisis Talks
At the state level, an economic coordination committee met under the direction of President Masoud Pezeshkian, alongside the secretary of the Supreme National Security Council, to formulate a response to the trade and currency crisis.
Mehdi Darabi, an advisor to the central bank governor for foreign exchange affairs, pushed back against the market freefall in statements broadcast on state television, characterizing the downward movement as a temporary reaction driven by outside actors.
The idea that the Iranian economy is on the verge of collapse is being promoted… and the enemy is using this to affect our currency exchange rate. Mehdi
Analysts point out that without structural improvements in oil revenues, liquidity control, and foreign relations—including potential breakthroughs in negotiations with the United States—short-term currency injections from state reserves can offer only a temporary buffer against ongoing systemic decline.
