IRR: Gradual Appreciation In 2014
We expect the Iranian rial to trade around current levels in the unregulated (black) market over the next three months. The currency was trading at IRR30,480/USD in street market transactions on March 16, having remained relatively stable since September 2013. We see such a trend to persist as talks with the West on the Islamic Republic's nuclear programme continue while the economy gradually recovers after two years of recession. We also do not foresee any devaluation of the Iranian rial in the official market, after the Central Bank of Iran devalued the unit from IRR12,260/USD to IRR24,779/USD in July last year.
|Upside Pressures Prominent|
|Iran - IRR/USD Exchange Rate, Official & Street Market|