Iranian Rial To Usd Black Market Rate Chart
The Iranian Rial (IRR) has been facing a turbulent time in the foreign exchange market due to various economic factors. One of the most significant factors is the US sanctions on the country, which has led to a shortage of foreign currencies and an increase in demand for the US dollar (USD) in Iran. As a result, the black market rate for USD has been fluctuating extensively in Iran.
What is the Black Market Rate?
The black market rate is the exchange rate of a currency that is not regulated by the government or official financial institutions. It is determined by the supply and demand of the currency in the informal market, which operates outside the legal framework. In Iran, the black market rate for USD is often higher than the official exchange rate due to the scarcity of foreign currencies.
The Fluctuating Black Market Rate
The black market rate for USD in Iran has been highly volatile over the years. In 2011, the black market rate was around 10,000 IRR per USD, while in 2018, it reached as high as 190,000 IRR per USD. Recently, in October 2021, the black market rate for USD in Iran hit a new high of 320,000 IRR per USD, which is a significant increase since the beginning of the year when it was around 240,000 IRR per USD.
The Impact of the Black Market Rate on the Iranian Economy
The fluctuating black market rate has a significant impact on the Iranian economy. It affects the purchasing power of Iranian citizens, as the cost of imported goods increases with the rise of the black market rate. Moreover, the high black market rate also affects the government's ability to provide subsidies for essential goods, such as food and medicine, which are imported and paid for in foreign currencies.
The Government's Efforts to Control the Black Market Rate
The Iranian government has taken several measures to control the black market rate and stabilize the economy. One of the measures is to unify the official and black market exchange rates, which was implemented in 2021. The government also introduced a new foreign exchange platform, called NIMA, which is aimed at reducing the reliance on the black market for foreign currency transactions.
The Future of the Black Market Rate for USD in Iran
The future of the black market rate for USD in Iran is uncertain, given the current economic situation in the country. The US sanctions are still in place, and the COVID-19 pandemic has further exacerbated the economic challenges. However, the government's efforts to control the black market rate and stabilize the economy may lead to a reduction in the volatility of the exchange rate in the future.
Conclusion
The black market rate for USD in Iran has been fluctuating extensively over the years, affecting the purchasing power of Iranian citizens and the government's ability to provide essential goods. The government's efforts to control the black market rate and stabilize the economy may lead to a reduction in the volatility of the exchange rate in the future.