Tehran: Central Bank of Iran Governor Abdolnaser Hemmati declared on Tuesday that Tehran holds sufficient foreign currency reserves to withstand ongoing US economic sanctions. Hemmati stated that the central bank is prepared to inject up to two billion USD dollars into the foreign exchange market to curb recent volatility and shore up the national currency. Directly addressing the White House, he dismissed claims of an impending economic crash as "psychological warfare," maintaining that while financial conditions remain challenging, a collapse will never happen.
The central bank's intervention follows sharp rhetoric from Washington, where US Treasury Secretary Scott Bessent asserted that Tehran was "lashing out kinetically because they are losing economically" under the weight of heightened American sanctions and a naval blockade. Hemmati countered that the central bank continues to recover foreign currency receivables and holds domestic reserves alongside undisclosed financial assets. His comments aim to reassure domestic markets after senior officials, including President Masoud Pezeshkian, publicly acknowledged the severe strain on the national economy.
Iran's economy faces severe headwinds, highlighted by the Iranian rial hitting a historical low in August after crossing the psychological mark of two million rials to the US dollar, alongside a 66 percent annual inflation rate recorded in July. Washington continues to leverage heavy financial restrictions to force Tehran to meet its diplomatic demands, with Bessent reiterating firm warnings that any third party entities conducting business with Iran risk secondary US sanctions.
