Iran’s Parliament Dismisses Finance Minister Amid Currency Crisis

Iran’s Parliament has dismissed Finance Minister Abdolnaser Hemmati due to inflation and a collapsing national currency, the rial. The decision came following a vote of no confidence, with overwhelming support from lawmakers. The rial’s black market value has plunged dramatically, indicating severe economic distress in the nation.

Iran’s Parliament has voted to remove Finance Minister Abdolnaser Hemmati in response to rising inflation and a significant decline in the national currency, the rial. This decision followed a vote of no confidence, with 182 out of 273 lawmakers supporting his dismissal, approximately eight months after President Masoud Pezeshkian’s administration took office. The immediate effect of the dismissal is stipulated by the Iranian constitution, and an acting minister will be appointed until a permanent replacement is designated.

The Iranian rial has experienced alarming depreciation, trading at over 920,000 per US dollar on the black market. This marks a drastic decline from under 600,000 per US dollar in 2024 and a stark difference from 32,000 per US dollar in 2015. Such a significant drop is attributed in part to the reimplementation of the “maximum pressure” economic policy against Iran by former US President Donald Trump shortly after he assumed office.

In conclusion, the ousting of Finance Minister Abdolnaser Hemmati comes amid escalating economic challenges in Iran, including soaring inflation and a dramatic fall in the rial’s value. The actions taken by Parliament reflect growing unrest regarding the economic management under the current administration. The recent fluctuations in the currency underscore the critical financial difficulties faced by the country, further complicated by international sanctions.

Original Source: shafaq.com