The trend of the decline in the national currency value continues, according to statements from market players and prices listed on websites and information channels for gold and currency prices.
The exchange rate for the US dollar has reached 580,000 rials, experiencing significant fluctuations in recent months, ranging from 500,000 to 600,000 rials and then returning to 540,000 rials.
Some experts believe that considering the fiscal policies of the United States and the approach of neighboring countries like Iran regarding currency affairs, the upward trend of the dollar’s value will persist.
Reuters reported on February 4 that eight Iraqi banks were banned from US dollar transactions after a senior US Treasury official visited Iraq.
Earlier, the Iraqi government had already prohibited banks and currency exchanges in the country from engaging in currency transactions with Iran.
Prior to this, a spokesperson for the US Treasury stated that Washington would continue to be a partner with Iraq in protecting its financial sector against the misuse by the Islamic Republic of Iran or other malicious actors.
The fall of the Iranian stock market
Simultaneously with the continued increase in the dollar’s price in the Iranian market, the capital market faced its “second winter decline.”
An economic expert states that those remaining in the Iranian stock market are experiencing the “Stockholm Syndrome.”
News outlets report that the market index has once again fallen to its support level, around two million units, in the latest month.
The regime’s Mehr News Agency also announced that the overall stock index experienced a “hard drop of over 16,000 units” at the end of trading on February 27, with the current “value of retail transactions at its lowest level.”
According to the report, a kind of stagnation and recession has gripped the capital market, with “560 stock symbols in a negative situation” and only “34 symbols in a buying queue” in the February 27 transactions.
Some media outlets have also referred to the 112 billion dollars decline in the total value of the capital market since the beginning of the thirteenth government and announced that its current value is “144 billion dollars.”
In recent days, as the capital market in Iran continues its downward trend, some shareholders held protest gatherings in front of the Tehran Stock Exchange building.
It is noteworthy that the financial literacy score of Iranians is around “35 out of 100,” lower than the scores of Yemenis, Cambodians, and Paraguayans, according to a survey.
Reports also suggest that the poverty line in Iran for a four-member family has exceeded 250 million rials (approximately $431), and the living conditions for the people have become very difficult, with an expected “100% increase in inflation,” as inflation exceeding 50% adds further challenges.
It is worth mentioning that the minimum wage for workers until March 2024 is approximately 80 million rials (approximately $174), while the poverty line in Tehran is more than 300 million rials (approximately $517).
Morteza Afghah, an economist affiliated with the government, stated on October 18, 2023, that in the most optimistic scenario, 30 million out of Iran’s population of 88 million are below the absolute poverty line.
However, the budget for 2024 will exacerbate the poverty and misery of the Iranian people. A significant portion of Iran’s oil income is being used for the Revolutionary Guards’ intervention and warmongering in the Middle East.
Source » iranfocus