The effects of the financial crisis that hit the global economy in the first decade of the twenty-first century are still evident. Especially sensitive to these phenomena were countries with average and low living standards. The Islamic Republic of Iran also belongs to such states. The currency of the state, even before the crisis, “pleased” its citizens with a high level of inflation, after sad financial events began to lose its value even faster. The gloomy process that accompanies the jump in prices in the country is the rise in unemployment.
This economic phenomenon has “absorbed” the youth masses to a greater extent. The result was riots in Tehran - the capital of the Islamic Republic of Iran. The country's currency dramatically reduces its position. An additional factor affecting
galloping inflation is the lack of a foreign
reserve currency in the country
. The United States refuses to lend a helping hand to the state, explaining its behavior by its unwillingness to support the Islamic Republic’s growing nuclear program.
Persian Independent Country
At the beginning of the twentieth century, a completely different country was located on the territory of modern Iran. Until 1935, the lands of the Muslim state were united under the name Persia. Then the country received its new name, which has survived to this day. Until the country gained independence, it was ruled by the Shahs. However, in 1979, the last representative of the dynasty fled the country, leaving only historical memories of himself. And on the world map a new independent state appeared - Iran. The currency of a sovereign republic was born a year later - in 1980. The national monetary unit of the Islamic Republic began to be called rial.
Dinars and mists
Over the past thirty years, the currency has practically not changed its shape, color and content. Only the denominations of the issued notes and their value on the global stock market changed. There is another currency unit that is common in the Republic of Iran. The currency is called fog and is equal to ten real. Tourists visiting a Muslim state are at first confused: it’s quite difficult to understand which currency the price is announced in. In the early stages of the development of the state, dinars were also in circulation. One hundred units of this denomination amounted to one real. Over time, dinars ceased to use. The reason for this was the high inflation rate, adding zeros and devaluing the country's currency.
Paper notes and metallic moneys
At present, the country's national monetary unit is present in circulation in the form of paper notes and metal banknotes. Initially, the issue of printed bank notes in denominations of a hundred, two hundred and five hundred rials was carried out. Gradually, banknotes corresponding to them entered, the face value of which grew ten, and then a hundred times. In addition to paper currency, the currency of Iran also includes coins. Round metal coins are minted in denominations of fifty, one hundred, quarter, thousand and five hundred riyals.
The main and main problem facing the government of the country is a sharp drop in the value of the national currency. The currency of Iran, whose exchange rate is exposed to the strong effects of inflation, is losing ground every day. In 2012, its colossal decline was observed: in one day, the rial fell immediately by 40%. The decline in the value of the currency continues to this day. It is noteworthy that it is possible to import foreign currency into the country only in limited quantities. And to remove from a plastic card a foreign bank is almost impossible.