Iran's currency falls to a record low

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Iran's currency falls to a record low

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Iran’s currency has reportedly fallen to a record low against the US dollar.

There are now 35 thousand rials to the dollar, according to agency reports. This means the currency has lost around 80 percent of its value since the end of 2011.

Experts say this suggests the economic sanctions imposed on Iran over its controversial nuclear programme are impacting economic activity.

Iran says its nuclear policy is for peaceful, civil purposes, but the major powers are not convinced.

Many think that Tehran is trying to build an atomic bomb.

It is suspected this latest slide is the result of a government decision to supply dollars to importers of certain basic commodities at a special rate.

This should have pegged the slide but instead seems to have had the opposite effect.

The US sanctions, which are backed by the EU, include a ban on the trade of Iranian oil.