Iran's Rial Hits All-Time Low of 1.8M/USD; Inflation Reaches 100% on Basic Goods

Iran's currency sank to a fresh all-time low of 1.8 million rial per US dollar — a depreciation of roughly 60% since the June 2025 conflict began. Economic analysis revealed point-to-point inflation reaching 100% on certain basic commodities, with bread and cereal prices up 140%, red meat up 135%, and oil and fats up 219% year-on-year (March 2025 to March 2026). The 12-month headline inflation rate hit 53.7%, with the IMF forecasting Iranian GDP to shrink 6.1% in 2026 and inflation to reach 68.9% annually. Approximately 1 million people had been put out of work by the conflict. Iran's Central Bank projected even under an optimistic ceasefire scenario, inflation would reach 49%; under continued conflict, 67%; under renewed open war, 123%. The economic devastation was described as 'excruciating' by analysts, though Iran's government argued the population had higher tolerance for economic pain than Western observers assumed.