CURRENT AFFAIRS

Detailed explanation-1: -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).

Detailed explanation-2: -rial, monetary unit of Iran, Oman, and Yemen. The rial was introduced as Iran’s monetary unit in 1932. The Central Bank of the Islamic Republic of Iran has the exclusive authority to issue banknotes and coins in Iran. Coins are issued in denominations ranging from 5 to 500 rials.

Detailed explanation-3: -A proposal has been agreed to by the Iranian Parliament to drop four zeros, by replacing the rial with a new currency called the toman, the name of a previous Iranian currency, at the rate of 1, 000 toman = 10, 000 rials.

Detailed explanation-4: -In early 2019, following the hyperinflation of the rial, the central bank made a new proposal, suggesting the currency be redenominated by introducing a new toman with a value of 10 rials.

Detailed explanation-5: -The rial is the only official legal currency in the nation of Iran, but is also informally used in Afghanistan, Saudi Arabia, Iraq, and Syria. Because of its extremely low value, the rial is not commonly traded in the foreign exchange market. Its forex symbol is IRR.