Wed Dec 31 10:23:29 UTC 2025: Summary:

Iran appointed a new central bank governor, Abdolnasser Hemmati, after the previous governor resigned due to a record fall in the value of the Iranian Rial against the U.S. dollar. This currency collapse triggered large protests across the country driven by a 40% inflation rate and rising prices for basic goods. The new governor is tasked with controlling inflation, strengthening the currency, and addressing mismanagement of banks. The economic crisis is partly attributed to Western sanctions imposed after the U.S. withdrew from the 2015 nuclear accord.

News Article:

Iran Appoints New Central Bank Governor Amid Currency Crisis and Protests

Tehran, Iran – December 31, 2025 – The Iranian government has appointed Abdolnasser Hemmati as the new Governor of the Central Bank of the Islamic Republic of Iran, following the resignation of Mohammad Reza Farzin. The move comes amidst a severe economic crisis marked by a record plummet in the value of the Iranian Rial against the U.S. dollar, which has ignited widespread protests across the country.

The Rial’s dramatic fall, with the dollar now trading at 1.38 million rials compared to 430,000 when Farzin took office in 2022, has fueled a 40% inflation rate, driving up the prices of food and other daily necessities and sparking intense public discontent. Protests erupted on Sunday and continued through Tuesday, leading to widespread closures of shops and businesses in Tehran and other major cities.

Hemmati, a former Economics Minister, faces the daunting task of stabilizing the economy. His agenda includes controlling inflation, strengthening the currency, and tackling alleged mismanagement within the banking sector.

The economic turmoil in Iran is exacerbated by Western sanctions imposed after the United States unilaterally withdrew from the 2015 nuclear accord under President Donald Trump. These sanctions have put a strain on household budgets and contributed to the currency’s depreciation. Analysts warn that recent gasoline price changes could further worsen the inflationary pressures.

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