For most people, everything needs to get converted to foreign currency or gold. Investor sentiment has gone beyond negative at this point. A massive divide between the 'haves' and 'have nots' is about to take place (worse than it already is)
Iranians are in really deep financial trouble. Please advise your families to be prepared. For a nation constantly on the edge, it's hard to believe how unprepared the average Iranian household is for rainy days.
In another post on around the same date this is what I said in reply to A8K:
No one is going to rise up. Cries of injustice, poverty and entitlement don't equate to rising up. Any limited attempts at rising up will be quickly nullified by those willing to further participate in the charade. There's an endless supply of moronic, treasonous and opportunistic vermin in Iran.
On Sep 25, 2018 When Dollar hit 16,000 Toman for the first time, this is what I had to say:
Bache Tehroon said:
1 U$ = 16600 Toman
Dollar having been at or above 14000 for a month means a massive wave of retail price increases will be hitting the market in the coming days. All the price increases seen so far were mostly due to dollar hovering around 7000-9000 toman a while back. Expect all prices to at least double in short order.
Side note: Gasoline price in Iran is ridiculously low. This can't last. At 1000 toman, it's being subsidized by a factor of 500%. Its real price should be at least 5000 toman/litre even by Iran's historically subsidized fuel rate. This price increase is coming and it will choke the hell out of Iran's crawling economy.
It truly has become a game of mere survival, albeit a relatively easy one for now. For most people it means cutting all costs and purchases of items not related to absolute basic needs. A true economical depression. While still far from a 'doomsday scenario', this has severe consequences:
- You will see a huge wave of young children (under 15) seeking work/income. The phrase "Koodakaane Kaar" will take on a whole new meaning as the number of kids needing work to support their families will be astonishing.
- The country's birth-rate, specially in cities will plunge. More than it already has. Negative population growth is inevitable in Iran.
- Education will become a luxury only reserved for the 'haves' of the society. Many families will not be able to send their children to school/university.
- Crime will rise. A lot. Poverty itself doesn't necessarily increase crime, but instability does.
I'm not quoting myself to brag about my predictions coming true (which they totally have). I'm quoting myself to remind myself how logic always prevails. Emotions never win when it comes to money and economy. I had decided to put emotions and personal interests aside and think of the situation from a completely logical perspective. It all came true. Most of us can't keep our emotions and personal interests at bay when it comes to matter related to Iran.
This is why we can't understand how a country with such astonishing inflation rates can actually continue to function. Because we just don't want to believe it. The truth is, Iranians will continue to function only in a much much poorer state.
Keep away from Rial. That's all one needs to do for now. And anyone with an ion of self-respect should avoid having children under these circumstances in Iran.