Iran’s rial fell to a fresh record low on Sunday, trading above 620,000 to the US dollar as households faced worsening pressure from rising prices and a weakening economy. The slide underscores the growing strain on ordinary Iranians as savings lose value and import costs climb.

Reuters reported that renewed international sanctions are weighing on oil exports and government finances, limiting access to hard currency and tightening an already fragile economic outlook. The currency’s decline comes as inflation continues to accelerate, eroding purchasing power across the country.

The latest drop adds to a long period of economic instability in Iran, where sanctions, mismanagement and restricted trade have made daily life harder for many families. For workers, retirees and small businesses, the falling rial can quickly translate into more expensive food, medicine and essential goods.

Analysts say the pressure on the currency reflects both external restrictions and deep structural problems inside Iran’s economy. With limited room to stabilize the market, officials face growing challenges in containing inflation or restoring confidence in the national currency.