Iran to Inject $2 Billion to Stabilize Crashing Rial

Central Bank Governor Abdolnaser Hemmati announced that Iran will inject up to $2 billion into the foreign exchange market to stabilize the rial following a period of severe volatility. The move comes as the Iranian rial hit a record low of 2 million to the U.S. dollar in August and annual inflation reached 66% in July.

Hemmati stated that Iran possesses sufficient foreign currency reserves to withstand U.S. sanctions, dismissing claims of an imminent economic collapse as "psychological warfare." While he acknowledged that livelihood management and economic conditions have become difficult, he maintained that a total collapse has never happened and will not occur.

The intervention follows assertions from U.S. Treasury Secretary Scott Bessent, who claimed Tehran is losing an economic war and is "lashing out kinetically because they are losing economically." The economic pressure is further compounded by a naval blockade, which President Masoud Pezeshkian highlighted as a primary driver of the country's growing financial difficulties.