Iran's rial has weakened to around IRR2,031,000 against the US dollar on the open market, extending a slide that has roughly halved the currency's value in under a year, free market data from Bonbast showed on August 24.

The dollar was quoted at 203,100 tomans, equivalent to IRR2,031,000, up from about 95,000 tomans (IRR950,000) last October, a depreciation that has gathered pace since Israeli and US strikes on Tehran sent the currency into freefall in late February.

The rial has continued to grind lower through the summer as the naval blockade of Iran's ports, a fresh US sanctions campaign and the halt to oil exports drained the supply of hard currency.

The pound was trading at IRR2,769,500 and the euro at IRR2,369,500 on the open market as of 12:42 UTC on August 24, according to the same data. The Azadi gold coin was quoted at IRR2,180,000,000 to sell.

The rial traded at IRR1,749,500 on February 28, the day US President Donald Trump confirmed major combat operations against Iran, marking what was then a record low.

The currency had breached the IRR1.2mn mark in December 2025, before the war, as chronic fiscal deficits, high inflation and multiple exchange-rate regimes eroded confidence.

The currency has lost the vast majority of its value over the past decade, with inflation running at around 40% annually and a persistent gap between the official and open market rates.

The Central Bank of Iran has favoured a cautious stance over aggressive intervention, with analysts pointing to limited capacity to stabilise markets given deeper fiscal constraints.

Iran is preparing to strip four zeros from the rial in a long-delayed redenomination due to be phased in from 2027, a move intended to simplify transactions rather than address the underlying loss of value.