Iran’s Parliament Dismisses Finance Minister as Rial Value Declines

Iran’s Parliament has ousted Finance Minister Abdolnaser Hemmati due to inflation and the decline of the rial. 182 lawmakers voted for his removal, making it effective immediately. The rial is currently trading at over 920,000 against the US dollar, significantly lower than past values, indicating economic distress exacerbated by external pressures.

Iran’s Parliament has officially dismissed Finance Minister Abdolnaser Hemmati amid rising inflation and a significant drop in the national currency, as reported by state-run television on Sunday. The vote of no confidence came nearly eight months into President Masoud Pezeshkian’s administration, with 182 out of 273 lawmakers voting in favor of his removal, attributed to the severe depreciation of the Iranian rial.

Under the provisions of Iran’s constitution, the dismissal of Hemmati takes immediate effect, leading to the appointment of an acting finance minister until a permanent replacement is selected by the government. Recent trading data revealed that the rial has plummeted to over 920,000 against the US dollar on the black market, a stark increase from less than 600,000 in 2024 and dramatically lower than 32,000 in 2015.

This recent decline in the value of the Iranian currency has occurred shortly after the reimplementation of stringent economic pressure measures by the administration of former US President Donald Trump, exacerbating the already challenging economic conditions in Iran.

The dismissal of Finance Minister Abdolnaser Hemmati by Iran’s Parliament underscores the ongoing economic difficulties faced by the nation, marked by high inflation and a rapidly declining rial. As the political landscape shifts, the appointment of an acting minister indicates the urgent need for effective economic stewardship amid these challenges. The currency’s depreciation highlights the profound impact of external policies on Iran’s economy, demanding urgent reforms.

Original Source: shafaq.com