Iran’s rial hits record low as US readies new sanctions

Iran’s currency hit a record low Monday, dropping to 2.02 million rials per U.S. dollar, as Washington prepared to announce new sanctions targeting the already strained economy. The market rate, which most Iranians pay, far exceeds the official central bank rate of 1.5 million. Since the Feb. 28 U.S.-Israel attack, war has worsened inflation, with rice up 60% and beef over 150%, while the IMF forecasts GDP contraction exceeding 5%. Economic pressure has not yet sparked political unrest. Iran’s strategic leverage remains its near-halt of Strait of Hormuz traffic, and it is reportedly finalizing a joint management plan with Oman. The U.S. plans secondary sanctions on countries trading with Iran, following the UAE’s suspension of all trade.