In the streets Iran’s currency trades at 52% discount to the official exchange rate [SoberLook]
September 14, 2012 Leave a comment
Internal conditions in Iran continue to deteriorate. The street value of Iran’s currency (the rial) has hit new lows as the currency decline spirals out of control.
NBC News: – Street traders in Iran say the country’s currency has struck a new record low against the U.S. dollar, the second consecutive day it has fallen sharply.
They say the rial on Monday dropped some 5 percent, with 25,650 rials now needed to purchase one dollar. A day earlier it fell nearly 7 percent.
The currency’s slide is a sign Western sanctions over Iran’s nuclear program are biting, although Iran says it has enough reserves and blames nervous markets. The West suspects Iran aims to build nuclear weapons. Iran denies that.
That’s a whopping 52% discount to the official exchange rate.