Iran's economy is facing a severe crisis as the national currency, the rial, continues its sharp decline. Since July 2024, the rial has lost nearly 50% of its value, trading at over 900,000 to the US Dollar.

91 Iranian lawmakers sign motion to dismiss economy minister

In a significant blow to Zimbabwe's economy, the country's dollar experienced a sharp decline of 26 percent during Tuesday's foreign-exchange auction, a Bloomberg report said.&nbsp;The official exchange rate now stands at 1,888 Zimbabwe dollars to the US dollar, compared to 1,404 just a week ago.

This comes in response to a report issued by a government commission, which stated that the currency was overvalued and advocated for the government to relax foreign currency controls.

The latest development brings the official rate closer to the parallel market rate, which ranges between 2,300 and 3,000 Zimbabwe dollars to the US currency.

A joint report by the Competition and Tariff Commission and National Competitiveness Commission has emphasised&nbsp;the need for market forces to determine the exchange rate and prices, suggesting that this approach is unlikely to lead to price increases since manufacturers' costs are already linked to the parallel market.

Through the currency reforms, the Zimbabwe government aims to narrow the gap to alleviate severe price distortions of essential goods and services.

Zimbabwe's Economic Woes Continue

Zimbabwe has been grappling with a wave of price hikes on basic goods and services, prompting the cabinet to establish a dedicated team to investigate the causes of these increases. Retailers have attributed the surging prices to the depreciation of the local currency. Throughout this year, the Zimbabwe dollar has lost more than half of its value, exacerbating economic challenges in the country.

The recent&nbsp;commission&nbsp;report contradicts Zimbabwe's President, Emmerson Mnangagwa, who squarely blames the business sector for the country's economic turmoil.

In a statement made on Sunday, cited by Bloomberg, Mnangagwa reiterated&nbsp;his government's willingness to implement "painful" measures to rectify the situation. However, the commission's report aligns with growing calls to ease foreign currency controls and allow market dynamics to dictate exchange rates and prices.

The slumping of the Zimbabwe dollar underscores the urgency for the government to take decisive action to address the country's economic crisis. The currency devaluation aims to align the official exchange rate with the parallel market, thereby reducing distortions and stabilizing prices.

As Zimbabwe navigates these challenges, the government will face mounting pressure to adopt comprehensive reforms that promote transparency, stimulate economic growth, and restore investor confidence.

In a significant blow to Zimbabwe's economy, the country's dollar experienced a sharp decline of 26 percent during Tuesday's foreign-exchange auction, a Bloomberg report said.

In a significant blow to Zimbabwe's economy, the country's dollar experienced a sharp decline of 26 percent during Tuesday's foreign-exchange auction, a Bloomberg report said. The official exchange rate now stands at 1,888 Zimbabwe dollars to the US dollar, compared to 1,404 just a week ago. This comes in response to a report issued by a government commission, which stated that the currency was overvalued and advocated for the government to relax foreign currency controls. The latest development brings the official rate closer to the parallel market rate, which ranges between 2,300 and 3,000 Zimbabwe dollars to the US currency. A joint report by the Competition and Tariff Commission and National Competitiveness Commission has emphasised the need for market forces to determine the exchange rate and prices, suggesting that this approach is unlikely to lead to price increases since manufacturers' costs are already linked to the parallel market. Through the currency reforms, the Zimbabwe government aims to narrow the gap to alleviate severe price distortions of essential goods and services. Zimbabwe's Economic Woes Continue Zimbabwe has been grappling with a wave of price hikes on basic goods and services, prompting the cabinet to establish a dedicated team to investigate the causes of these increases. Retailers have attributed the surging prices to the depreciation of the local currency. Throughout this year, the Zimbabwe dollar has lost more than half of its value, exacerbating economic challenges in the country. The recent commission report contradicts Zimbabwe's President, Emmerson Mnangagwa, who squarely blames the business sector for the country's economic turmoil. In a statement made on Sunday, cited by Bloomberg, Mnangagwa reiterated his government's willingness to implement "painful" measures to rectify the situation. However, the commission's report aligns with growing calls to ease foreign currency controls and allow market dynamics to dictate exchange rates and prices. The slumping of the Zimbabwe dollar underscores the urgency for the government to take decisive action to address the country's economic crisis. The currency devaluation aims to align the official exchange rate with the parallel market, thereby reducing distortions and stabilizing prices. As Zimbabwe navigates these challenges, the government will face mounting pressure to adopt comprehensive reforms that promote transparency, stimulate economic growth, and restore investor confidence.

Zimbabwe's dollar plummets 26% as calls to loosen currency controls intensify

Ghana is battling its worst economic crisis in a generation, amid a currency crisis that has worsened the nation’s fiscal position. The Ghanaian currency, Cedi, became the worst-performing currency in the world after it lost 45.1 percent of its value to the dollar in 2022. And in Nigeria, the central bank has extended the timeline to swap out its old currency for re-designed notes after the change triggered a cash shortage, forcing businesses to close and leaving millions unable to withdraw their money. What's causing this tumble and what really happens to the old, dilapidated currency notes?

Nigeria & Ghana face currency crisis | Crisis over old currency swap | World of Africa

On Tuesday, the euro saw its lowest point in two decades against the dollar, as a result of resurgent worries that an energy crisis will keep prices high and virtually drive Europe into a recession.&nbsp;

The value of the <a href="https://www.wionews.com/world/new-covid-19-testing-robot-can-produce-results-in-just-45-minutes-509333">Chinese</a> yuan fell to a two-year low, and the value of the pound briefly surpassed March 2020 lows.

The euro was able to recover from the 20-year low of $0.99005 set early in the day as business activity figures from Europe were not as dismal as anticipated.

The likelihood of maintenance on the main Russian pipeline to Europe caused markets to tremble on Monday, which resulted in a substantial increase in British and Dutch wholesale gas prices. The <a href="https://www.wionews.com/world/gazproms-halt-of-nord-stream-1-pipeline-plunges-europe-into-a-gas-crisis-509359">Nord Stream 1 pipeline</a> will be shut down by Russia for three days at the end of the month, the latest illustration of how unstable the continent's energy supply is.

Energy supply has already been strained by the continent's heat waves, and concerns are rising that any disruption during the winter months may be disastrous for business activity.

"Given the current mood, there's obviously concerns as to whether that's going to be three days or whether it's going to be three years," said Ray Attrill, head of FX strategy at National Australia Bank (NAB).

Also read |&nbsp;<a href="https://www.wionews.com/world/japan-may-scrap-covid-19-tests-for-travellers-reports-509384">Japan may scrap COVID-19 tests for travellers: Reports</a>

The Japanese yen moved up to 137.24 per dollar after striking a one-month low of 137.705 earlier in the day, while the pound was driven to a new 2-1/2-year low of $1.1718.

The risk-averse Australian dollar dropped to a one-month low before rising to about $0.6888.

China's yuan dropped to an almost two-year low of 6.8666 per dollar elsewhere in Asia.

Also WATCH&nbsp;|&nbsp;E-Commerce revenue may shrink for first time

<iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/e-commerce-revenue-may-shrink-for-first-time-509341/embed" style="width:100%;max-width:560px;" width="560"></iframe>

On Tuesday, the euro saw its lowest point in two decades against the dollar, as a result of resurgent worries that an energy crisis will keep prices high and virtually drive Europe into a recession.

On Tuesday, the euro saw its lowest point in two decades against the dollar, as a result of resurgent worries that an energy crisis will keep prices high and virtually drive Europe into a recession. The value of the Chinese yuan fell to a two-year low, and the value of the pound briefly surpassed March 2020 lows. The euro was able to recover from the 20-year low of $0.99005 set early in the day as business activity figures from Europe were not as dismal as anticipated. The likelihood of maintenance on the main Russian pipeline to Europe caused markets to tremble on Monday, which resulted in a substantial increase in British and Dutch wholesale gas prices. The Nord Stream 1 pipeline will be shut down by Russia for three days at the end of the month, the latest illustration of how unstable the continent's energy supply is. Energy supply has already been strained by the continent's heat waves, and concerns are rising that any disruption during the winter months may be disastrous for business activity. "Given the current mood, there's obviously concerns as to whether that's going to be three days or whether it's going to be three years," said Ray Attrill, head of FX strategy at National Australia Bank (NAB). Also read | Japan may scrap COVID-19 tests for travellers: Reports The Japanese yen moved up to 137.24 per dollar after striking a one-month low of 137.705 earlier in the day, while the pound was driven to a new 2-1/2-year low of $1.1718. The risk-averse Australian dollar dropped to a one-month low before rising to about $0.6888. China's yuan dropped to an almost two-year low of 6.8666 per dollar elsewhere in Asia. Also WATCH | E-Commerce revenue may shrink for first time

Euro hits fresh 20-year low as energy crisis deepens

Apple products, especially iPhones, are known to enjoy fanfare across the globe. People wait in serpentine queues for long hours just to get their hands on the new gadgets, no matter how expensive they are.

Prices of Apple electronics, including iPhones, vary around the world. Import duty, among other taxes, levied by the countries make these products costlier.

But despite the steep price charged by the US-based tech behemoth, the demand for Apple products continue to soar.

Among the countries where Apple products cost more include Turkey.

According to web analytics platform Statcounter, as of November 2021, Apple’s market share in Turkey was around 16.67 per cent. In the previous year of the same month, the market share hovered around 15.58 per cent

Even though Samsung still rules the roost, Apple has been steadily gaining its market share in the transcontinental country.

But on November 24, Apple stopped the online sale of its products, ranging from iPhones to Macs, in Turkey.

Though the Turkish consumers were able to browse through Apple online store, they were unable to add products to their cart and instead were greeted with this message: “Not currently available”.

The reason for this is the monetary policy adopted by President Recep Tayyip Erdogan, which has resulted in the country’s currency, the lira, to crash as much as 45&nbsp;per cent this year.

Volatile currency

Turkey’s currency has been plunging to all-time lows against the US dollar and the euro in recent months.

Lira has lost more than 45 per cent of its value against the dollar this year. In November alone, the Turkish currency lost nearly 30 per cent of its value against the dollar.

In 2019, 1 US dollar was equal to 5.53 Turkish lira. But in November 2021, the lira fell to 13.10 against 1 US dollar.

The sharp devaluation of the Turkish lira and the resultant high inflation forced Apple to halt sales from its Turkish website temporarily.&nbsp;

As the currency had been falling over 40 per cent, the tech company had to adjust the prices of its products in order to extract the value of the original amount.

And on November 26, the US tech giant resumed its sales in Turkey and hiked the prices of its products between 25 per cent to 40 per cent.

The currency’s freefall is triggering a cascade of problems for the nation’s economy even as Erdogan presses ahead with a widely criticized effort to cut interest rates despite surging consumer prices.

The crash in the currency is the result of the country’s central bank cutting borrowing costs by 4 percentage points since September, in line with Erdogan’s wishes, even though inflation accelerated to around 20 per cent.

Erdogan, who has been at the helm of affairs for 19 years, has long argued that high interest rates cause inflation, contrary to general principles of economics.

Mainstream economics holds that lower interest rates lead to higher inflation because when money is cheaper to borrow, it loses its value relative to other currencies, and encourages consumers to spend more and businesses to produce more.

Rising cost of living

With inflation running at more than 21%, according to official figures, the prices of basic goods have soared and many people in the country of more than 83 million are struggling to make ends meet.

But the Turkish president has been pushing for low borrowing costs to stimulate the economy, boost growth and exports, and create jobs.

He has vowed to break the cycle of an economy dependent on short-term “hot money” lured by high interest rates.

A devout Muslim, whose religion regards usury and charging interest as a sin, Erdogan describes interest rates as “the mother and father of all evil.”

Recently, he had fired three central bank governors who resisted lowering rates.

The Turkish leader has blamed the currency crash on foreign forces bent on destroying Turkey’s economy and says his government is waging “an economic war of independence.”

Apple products, especially iPhones, are known to enjoy fanfare across the globe. People wait in serpentine queues for long hours just to get their hands on the new gadgets, no matter how expensive they are.

Apple products, especially iPhones, are known to enjoy fanfare across the globe. People wait in serpentine queues for long hours just to get their hands on the new gadgets, no matter how expensive they are. Prices of Apple electronics, including iPhones, vary around the world. Import duty, among other taxes, levied by the countries make these products costlier. But despite the steep price charged by the US-based tech behemoth, the demand for Apple products continue to soar. Among the countries where Apple products cost more include Turkey. According to web analytics platform Statcounter, as of November 2021, Apple’s market share in Turkey was around 16.67 per cent. In the previous year of the same month, the market share hovered around 15.58 per cent Even though Samsung still rules the roost, Apple has been steadily gaining its market share in the transcontinental country. But on November 24, Apple stopped the online sale of its products, ranging from iPhones to Macs, in Turkey. Though the Turkish consumers were able to browse through Apple online store, they were unable to add products to their cart and instead were greeted with this message: “Not currently available”. The reason for this is the monetary policy adopted by President Recep Tayyip Erdogan, which has resulted in the country’s currency, the lira, to crash as much as 45 per cent this year. Volatile currency Turkey’s currency has been plunging to all-time lows against the US dollar and the euro in recent months. Lira has lost more than 45 per cent of its value against the dollar this year. In November alone, the Turkish currency lost nearly 30 per cent of its value against the dollar. In 2019, 1 US dollar was equal to 5.53 Turkish lira. But in November 2021, the lira fell to 13.10 against 1 US dollar. The sharp devaluation of the Turkish lira and the resultant high inflation forced Apple to halt sales from its Turkish website temporarily. As the currency had been falling over 40 per cent, the tech company had to adjust the prices of its products in order to extract the value of the original amount. And on November 26, the US tech giant resumed its sales in Turkey and hiked the prices of its products between 25 per cent to 40 per cent. The currency’s freefall is triggering a cascade of problems for the nation’s economy even as Erdogan presses ahead with a widely criticized effort to cut interest rates despite surging consumer prices. The crash in the currency is the result of the country’s central bank cutting borrowing costs by 4 percentage points since September, in line with Erdogan’s wishes, even though inflation accelerated to around 20 per cent. Erdogan, who has been at the helm of affairs for 19 years, has long argued that high interest rates cause inflation, contrary to general principles of economics. Mainstream economics holds that lower interest rates lead to higher inflation because when money is cheaper to borrow, it loses its value relative to other currencies, and encourages consumers to spend more and businesses to produce more. Rising cost of living With inflation running at more than 21%, according to official figures, the prices of basic goods have soared and many people in the country of more than 83 million are struggling to make ends meet. But the Turkish president has been pushing for low borrowing costs to stimulate the economy, boost growth and exports, and create jobs. He has vowed to break the cycle of an economy dependent on short-term “hot money” lured by high interest rates. A devout Muslim, whose religion regards usury and charging interest as a sin, Erdogan describes interest rates as “the mother and father of all evil.” Recently, he had fired three central bank governors who resisted lowering rates. The Turkish leader has blamed the currency crash on foreign forces bent on destroying Turkey’s economy and says his government is waging “an economic war of independence.”

Apple briefly stopped selling its products in Turkey, but why?

President Emmerson Mnangagwa said on Wednesday that Zimbabwe's currency was under attack from businesses that were constantly hiking prices and this was part of a wider political plot against his government.

A year after the southern African nation ended a decade of dollarisation and reintroduced the Zimbabwe dollar, the local currency has tumbled on the black market, fuelling price increases and pushing inflation to 765%.

When Mnangagwa took over from Robert Mugabe in 2017 after an army coup, he promised to revive the economy, but life has become harder as people grapple with acute shortages of foreign currency, medicines and food, and unemployment above 80%.

"We are witnessing a relentless attack on our currency and the economy in general through exorbitant pricing models by the private sector," Mnangagwa told a meeting of his ruling ZANU-PF party's politburo in Harare.

"We are fully cognisant that this is a battle being fuelled by our political detractors, elite opportunists and malcontents who are bent on pushing a nefarious agenda they will never win."

Economic analysts say the government's budget is under pressure from spending to combat the coronavirus outbreak, which will force authorities to resort to printing money, stoking inflation further.

Inflation is seen ending this year way above the central bank and treasury's target of 50% due to a weak exchange rate and shortages of food following a drought.

Mnangagwa said reports last month of three opposition activists who were allegedly abducted and tortured by state security agents were part of coordinated plan to cause unrest.

The activists are receiving treatment in hospital and have been charged with taking part in an illegal protest and breaking coronavirus lockdown rules.

On Wednesday, United Nations human rights experts urged Zimbabwean authorities to "urgently prosecute and punish the perpetrators of this outrageous crime".

President Emmerson Mnangagwa said on Wednesday that Zimbabwe's currency was under attack from businesses that were constantly hiking prices and this was part of a wider political plot against his government.

President Emmerson Mnangagwa said on Wednesday that Zimbabwe's currency was under attack from businesses that were constantly hiking prices and this was part of a wider political plot against his government. A year after the southern African nation ended a decade of dollarisation and reintroduced the Zimbabwe dollar, the local currency has tumbled on the black market, fuelling price increases and pushing inflation to 765%. When Mnangagwa took over from Robert Mugabe in 2017 after an army coup, he promised to revive the economy, but life has become harder as people grapple with acute shortages of foreign currency, medicines and food, and unemployment above 80%. "We are witnessing a relentless attack on our currency and the economy in general through exorbitant pricing models by the private sector," Mnangagwa told a meeting of his ruling ZANU-PF party's politburo in Harare. "We are fully cognisant that this is a battle being fuelled by our political detractors, elite opportunists and malcontents who are bent on pushing a nefarious agenda they will never win." Economic analysts say the government's budget is under pressure from spending to combat the coronavirus outbreak, which will force authorities to resort to printing money, stoking inflation further. Inflation is seen ending this year way above the central bank and treasury's target of 50% due to a weak exchange rate and shortages of food following a drought. Mnangagwa said reports last month of three opposition activists who were allegedly abducted and tortured by state security agents were part of coordinated plan to cause unrest. The activists are receiving treatment in hospital and have been charged with taking part in an illegal protest and breaking coronavirus lockdown rules. On Wednesday, United Nations human rights experts urged Zimbabwean authorities to "urgently prosecute and punish the perpetrators of this outrageous crime".

Zimbabwe president says currency under attack as prices spiral

The rupee weakened by 16 paise to 73.61 against the US dollar in early trade Tuesday, amid increased demand of the American currencies from importers and sustained foreign fund outflows.

Traders said the US dollar's strength against some currencies overseas and a lower opening in the domestic equity markets also weighed on the local unit.

At the interbank foreign exchange, after opening lower at 73.58, rupee weakened further to quote at 73.61 against the dollar registering a fall of 16 paise over its pervious close.

The rupee ended almost flat at 73.45 against the US dollar Monday.

The dollar's weakness against some currencies overseas and easing crude oil prices, however, restricted the rupee fall, forex traders said.

Globally, Brent crude, the international benchmark, was trading 0.36 per cent down at USD 77.06 per barrel.

On a net basis, foreign investors pulled out Rs 2,230.79 crore from equity markets Monday, as per provisional data.

Meanwhile, the benchmark BSE Sensex plunged 135.93 points, to 33,931.47 in the opening trade.

The rupee weakened by 16 paise to 73.61 against the US dollar in early trade Tuesday, amid increased demand of the American currencies from importers and sustained foreign fund outflows.

The rupee weakened by 16 paise to 73.61 against the US dollar in early trade Tuesday, amid increased demand of the American currencies from importers and sustained foreign fund outflows. Traders said the US dollar's strength against some currencies overseas and a lower opening in the domestic equity markets also weighed on the local unit. At the interbank foreign exchange, after opening lower at 73.58, rupee weakened further to quote at 73.61 against the dollar registering a fall of 16 paise over its pervious close. The rupee ended almost flat at 73.45 against the US dollar Monday. The dollar's weakness against some currencies overseas and easing crude oil prices, however, restricted the rupee fall, forex traders said. Globally, Brent crude, the international benchmark, was trading 0.36 per cent down at USD 77.06 per barrel. On a net basis, foreign investors pulled out Rs 2,230.79 crore from equity markets Monday, as per provisional data. Meanwhile, the benchmark BSE Sensex plunged 135.93 points, to 33,931.47 in the opening trade.

Rupee falls 16 paise to 73.61 against US dollar in early trade

Fans of Coca-Cola in gas-rich Turkmenistan&#39;s capital Ashgabat are complaining they can no longer &quot;taste the feeling&quot;: their favourite drink has disappeared from shop shelves amidst a sharpening economic crisis.

&quot;You used to be able to find it in every shop, but now only a few are selling it and the price has increased significantly,&quot; Mergen Kakayev, a 24-year-old taxi driver told AFP.

&quot;People say it is unhealthy, but I have never noticed. For me a good meal is a piece of hot naan bread and a glass of cold Coca-Cola,&quot; said Kakayev, who got hooked on the drink ever since it first appeared in the secluded country in the 1990s.

Turkmenistan has imposed increasingly draconian restrictions on foreign currency exchange as global prices for hydrocarbons - over 90 percent of the country&#39;s exports -&nbsp;collapsed in 2014. &nbsp;&nbsp;

A spokeswoman for the drink&#39;s producer, Coca-Cola Icecek, which employs around 300 people in Ashgabat, told AFP by telephone it was &quot;facing raw material supply shortages&quot; due to &quot;temporary hard currency conversion issues&quot;, but was not planning to leave the market.

Two shopkeepers in Ashgabat told AFP that the cost of Coca-Cola spiked shortly after the conclusion of the Asian Indoor and Martial Arts Games Turkmenistan, hosted in Ashgabat in September.&nbsp;

 
The sporting event backed by the Olympic Council of Asia emerged as a key theme in state propaganda and the government lavished $5 billion on an Olympic village for the event alone. Coca-Cola Icecek were among the sponsors of the games.

An AFP correspondent visited several shops in central Ashgabat where employees said that Coca-Cola was now too expensive to stock after the price for a half-litre bottle went from 1.5 to 4 manats ($1.14).

One Turkmen businessman who gave his first name Aigozel told AFP that he was able to withdraw just $50 daily from bank machines during his last trip abroad.&nbsp;

The government last devalued its manat currency in January 2015 when it shaved a fifth off its value. But it still appears overvalued: while the official rate is one dollar to 3.5 manats, the greenback fetches over 8 manats on the black market.&nbsp;

Turkmenistan has imposed increasingly draconian restrictions on foreign currency exchange as global prices for hydrocarbons - over 90 percent of the country's exports - collapsed in 2014

Fans of Coca-Cola in gas-rich Turkmenistan's capital Ashgabat are complaining they can no longer "taste the feeling": their favourite drink has disappeared from shop shelves amidst a sharpening economic crisis. "You used to be able to find it in every shop, but now only a few are selling it and the price has increased significantly," Mergen Kakayev, a 24-year-old taxi driver told AFP. "People say it is unhealthy, but I have never noticed. For me a good meal is a piece of hot naan bread and a glass of cold Coca-Cola," said Kakayev, who got hooked on the drink ever since it first appeared in the secluded country in the 1990s. Turkmenistan has imposed increasingly draconian restrictions on foreign currency exchange as global prices for hydrocarbons - over 90 percent of the country's exports - collapsed in 2014. A spokeswoman for the drink's producer, Coca-Cola Icecek, which employs around 300 people in Ashgabat, told AFP by telephone it was "facing raw material supply shortages" due to "temporary hard currency conversion issues", but was not planning to leave the market. Two shopkeepers in Ashgabat told AFP that the cost of Coca-Cola spiked shortly after the conclusion of the Asian Indoor and Martial Arts Games Turkmenistan, hosted in Ashgabat in September. The sporting event backed by the Olympic Council of Asia emerged as a key theme in state propaganda and the government lavished $5 billion on an Olympic village for the event alone. Coca-Cola Icecek were among the sponsors of the games. An AFP correspondent visited several shops in central Ashgabat where employees said that Coca-Cola was now too expensive to stock after the price for a half-litre bottle went from 1.5 to 4 manats ($1.14). One Turkmen businessman who gave his first name Aigozel told AFP that he was able to withdraw just $50 daily from bank machines during his last trip abroad. The government last devalued its manat currency in January 2015 when it shaved a fifth off its value. But it still appears overvalued: while the official rate is one dollar to 3.5 manats, the greenback fetches over 8 manats on the black market.

Turkmenistan currency crisis seen causing cola shortage

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