Iran’s parliament voted on Sunday to impeach Finance Minister Abdolnasser Hemmati, dismissing him from office as the rial collapsed. The currency’s sharp decline saw it approach one million rials per US dollar, sparking economic panic.
Government Faces Economic Crisis
President Masoud Pezeshkian defended Hemmati, insisting that the government struggles against intense Western pressure. He urged lawmakers to show unity and cooperate in tackling Iran’s growing economic challenges. Despite his appeal, parliament held Hemmati responsible for the currency crisis and voted to remove him.
Iran’s economy continues to suffer under heavy international sanctions, which worsened after the US withdrew from the 2015 nuclear agreement. The rial’s collapse reflects deep economic instability, increasing public frustration with the government’s economic management.
Rial Hits Historic Lows
In 2015, the rial traded at 32,000 per US dollar. By July, when Pezeshkian took office, it had plunged to 584,000 per dollar. Recently, the situation deteriorated further, with exchange shops in Tehran offering 930,000 rials for one dollar.
Economist Steve Hanke from Johns Hopkins University highlighted the crisis in a social media post. He noted that the Iranian rial ranks as the third worst-performing currency worldwide.