Iran’s Parliament has voted to remove Finance Minister Abdolnaser Hemmati following a sharp decline in the rial and rising inflation. The dismissal takes immediate effect, and the rial is now trading at over 920,000 per US dollar, a dramatic decrease from previous years. This economic turmoil is linked to U.S. sanctions policy instituted by former President Trump.
On Sunday, Iran’s Parliament voted to dismiss Finance Minister Abdolnaser Hemmati due to rising inflation and a significant drop in the national currency, the rial. This decision was reported by state-run television. Hemmati lost the confidence vote as 182 out of 273 lawmakers supported his removal, following a drastic decline in the value of the currency within a few months.
The dismissal takes immediate effect under Iran’s constitution, with an acting minister appointed to oversee the finance ministry until a permanent replacement is nominated by the government. On the same day of the dismissal, the rial was being traded on the black market at over 920,000 per US dollar, a stark contrast to its value of less than 600,000 in 2024 and only 32,000 in 2015.
The recent fluctuations in the currency value are attributed to the reinstatement of the “maximum pressure” economic policy against Iran by former U.S. President Donald Trump, which began a few months after he took office. This policy has significantly impacted Iran’s economy, contributing to the financial crisis and deteriorating currency stability.
In summary, the ousting of Finance Minister Abdolnaser Hemmati by Iran’s Parliament is a response to severe inflation and the rapid decline of the rial. The currency’s current value against the US dollar, more than 15 times lower than recent years, underscores a pressing economic crisis. Hemmati’s dismissal reflects the urgent need for effective leadership in managing Iran’s economic challenges.
Original Source: shafaq.com
