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Iran’s currency slides to new low, dollar at 1.47 million rials

Jan 6, 2026, 10:06 GMT+0

Iran’s rial fell to a fresh record low on Tuesday on unofficial markets, with the US dollar quoted at about 1.47 million rials as authorities seek to defuse public anger over soaring prices.

The euro was trading around 1.72 million rials and the pound at about 19.94 million rials, traders said.

The latest slide follows sharp swings since late December, when the currency’s plunge helped trigger protests in Tehran and other cities that have increasingly taken on a broader political edge.

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Ukraine is excuse for Europe to target Iran, Russian envoy says

Jan 6, 2026, 09:43 GMT+0

European governments are using disputes over Iran’s alleged role in Ukraine and the nuclear dossier to justify tougher measures against Iran, Russia’s ambassador to Tehran told state media.

Alexey Dedov said accusations over Iran’s role in the Ukraine war were being used as “merely a pretext for taking aggressive anti-Iran measures,” adding that both Tehran and Moscow had rejected the allegations.

“In my view, European countries are seeking to punish any state that pursues an independent foreign policy and refuses to follow directives from Brussels or other European capitals,” ISNA quoted Dedov as saying.

He said this approach was reflected first in Europe’s stance on the snapback mechanism.

  • Sanctions snapback augurs deeper pain for Iran's ailing economy

    Sanctions snapback augurs deeper pain for Iran's ailing economy

  • Iran sanctions snapback heralds suffering, possible war

    Iran sanctions snapback heralds suffering, possible war

Iran has emerged as one of Russia’s key backers since Moscow launched its full-scale invasion of Ukraine in February 2022, and Tehran has been accused of supplying Russia with hundreds of Shahed-series attack drones.

Western governments and Kyiv say Iranian-made drones have played a central role in Russia’s aerial campaign, allegations Iran has repeatedly denied or played down.

“If the issue was not Ukraine, European countries would have found other pretexts to take hostile action against Iranian officials with the same self-serving approach,” Dedov said.

He said relations between Moscow and Tehran had reached an unprecedented level in recent years, adding that cooperation in the gas, electricity and nuclear sectors was expanding.

“Bushehr nuclear power plant is our main joint project, with its first unit having been successfully operating for more than 10 years,” he said, adding that construction of the second and third units was continuing and about 700 Russian specialists were working on the project.

Families, retirees report security force action in several Iran cities

Jan 6, 2026, 09:04 GMT+0

Families of people detained in recent protests gathered late on Monday outside detention sites in areas including Gohardasht to seek information about their relatives, but were dispersed by security forces, according to messages sent to Iran International.

In the city of Baghmalek, residents said security agents raided the homes of some protesters and made arrests late on Monday, with no official figures available.

Separately, retirees in Kermanshah held a rally on Tuesday in support of nationwide protests, chanting slogans before security forces moved to break up the gathering, according to messages received by Iran International.

Iran’s currency slides to new low, dollar at 1.47 million rials

Jan 6, 2026, 08:59 GMT+0

Iran’s rial fell to a fresh record low on Tuesday on unofficial markets, with the US dollar quoted at about 1.47 million rials as authorities seek to defuse public anger over soaring prices.

The euro was trading around 1.72 million rials and the pound at about 19.94 million rials, traders said.

The latest slide follows sharp swings since late December, when the currency’s plunge helped trigger protests in Tehran and other cities that have increasingly taken on a broader political edge.

The government has floated new relief measures after moving to curb access to subsidized foreign exchange used for importing basic goods, a system critics say has fueled distortions and rent-seeking while failing to contain inflation.

  • Iran says food prices to jump as currency subsidies end

    Iran says food prices to jump as currency subsidies end

  • Can Iran's plan for a $7 monthly cash handout calm the streets?

    Can Iran's plan for a $7 monthly cash handout calm the streets?

President Masoud Pezeshkian’s administration has signaled it will shift support toward households, including a proposed monthly electronic credit or coupon scheme aimed at cushioning low-income families from price rises as the subsidy regime is rolled back.

Iran’s economy has been hit by years of sanctions and chronic inflation, and many Iranians turn to hard currency and gold as stores of value during bouts of political and economic uncertainty.

Iran interior ministry labels protests as 'riots' in parliament briefing

Jan 6, 2026, 07:43 GMT+0

Iran’s Interior Ministry described recent protests as “riots” in a report to parliament and said about 85% of calls to take part were made through foreign platforms, according to lawmakers briefed on the report.

Ebrahim Rezaei, spokesperson for parliament’s national security and foreign policy commission, said Security Deputy Interior Minister Ali Akbar Pourjamshidian told lawmakers that “rioters destroyed government buildings as well as private and public vehicles,” and said “most of those injured were police, security forces and Basij members,” adding that forces had acted with “restraint.”

Rezaei said the deputy minister also told the commission that “security is established” and that the trend in incidents was “declining,” while some lawmakers urged officials to “speak with the people” and address the roots of protests.

It's the economy: grim livelihoods explain Iranian anger

Jan 6, 2026, 07:21 GMT+0

The fate of the Iranian economy is increasingly shaping debates about the country’s future, one that may prove decisive regardless of how its current political struggles unfold.

Public frustration over rising living costs has once again spilled into protests across the country, shining a harsh light on how state resources are allocated and managed.

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