Conflict Zone in the Middle East: Ten Graphics to Understand Iran
The article explains the recent escalation of protests in Iran, driven by hyperinflation and the drastic depreciation of the Iranian Rial.
The article discusses the current protests in Iran, highlighting that the Iranian regime has recently issued banknotes with a face value of five million Rials due to rampant inflation. However, this amount is equivalent to just three dollars, showcasing the severe depreciation of the currency. The situation has arisen as the authorities have lost control over rising prices, with the dollar now worth around 1.6 million Rials, marking a staggering 85% loss in value over the past five years.
Moreover, the shift for traders from a state-subsidized exchange rate to a free market rate since 2025 has significantly increased the cost of imported goods, which has devastated the savings of ordinary Iranians and made it increasingly difficult for businesses to function. These economic pressures have fueled public discontent, leading to widespread protests as citizens struggle to cope with the loss of purchasing power and rising living costs.
Furthermore, the article notes that the ongoing economic crisis has prompted a surge in capital flight as individuals seek to protect their assets, exacerbating the currency's decline. Such circumstances contribute not only to immediate economic instability but also to broader social unrest, indicating that unless substantial economic reforms are made, the potential for continued protests and dissatisfaction among the Iranian populace looms.