Iran’s parliament has passed a bill allowing the government to slash four zeros from the rial and authorizing its replacement with another basic unit of currency called the toman (redenomination).
- The rial has been Iran’s official currency since 1932.
- The toman was the national currency during the Qajar dynasty (1785-1925) and the first few years of the Pahlavi dynasty (1925-1979).
- Iran changed its basic monetary unit from dinar to the rial in 1932 as part of the modernisation of the economy undertaken by the Pahlavi dynasty, which was overthrown by the revolution in 1979.
- Iran has seen the value of its national currency decline steadily since the Islamic Revolution brought the religious government to power in 1979.
- Iran had been mulling over the idea of cutting four zeros from its currency since 2008.