I have said this nearly two years ago, I'll say this again. Iran has huge copper mines. Iran needs to go to a copper backed rial.It's because of the JCPOA mostly which caused the currency to devaluate. The first year after the JCPOA was signed the economy grew by 13%.
They really put too much emphasis and faith in the US and the west, that's true. Anyways just when Iran's economy could have recovered, Covid hit and not that long ago the oil prices crashed.
After the US sanctions, oil prices crashing and Covid, it all hit Iran pretty hard, but now Iran's oil sales are pretty much to pre-sanction levels, oil prices are up, there's an end in sight for Covid and Iran's economy is set to grow this year and the next few years.
One thing Raesi said is that he's going to give the poor 10x more money. Isn't that going to cause high inflation though ? I mean unless they freeze the price of commodities ? or unless they do it gradually ?
I just can't see prices of rice, bread and essentials going up much more. Probably something like food stamps would be better or putting the money into a national food bank no ?
1000000 banknote = approx 60 USD
500000 banknote = approx 30 USD
50000 banknote = approx 3 USD
15000 rial = approx 1 USD
5000 rial coin - 100% pure copper troy ounce coin
2500 rial coin - copper half troy ounce
1250 rial coin - copper quarter troy ounce
500 rial coin - copper dime 1/10 of a troy ounce
50 rial coin - copper-nickel-aluminum penny
And I explained:
Having read the reports of Steel production in Iran..it reminded me of a program I saw on TV few years back (I think it was NOVA). The program was about the Viking swords and why they were so effective. After doing some detailed analysis of some of the swords excavated they realised that Viking...
The West would collapse the price of copper, that is why I valued the copper one ounce coin at 5000 rial. So that when copper prices are cut in half, 1USD = 30000 rial.
Have the Iranian rial value fixed to the price of copper.