Iranian rial weakens again amid war fallout

The Iranian rial has fallen to its lowest-ever level against the US dollar amid the ongoing war in the Middle East.

On Tuesday, the exchange rate in Tehran crossed about 2.5 million rials per dollar. The rate stood at around 2.2 million rials on September 2, meaning the currency hit another record low in less than a month.

The rial has been under sustained pressure since the war began. US sanctions on Iranian oil have hit the country's foreign currency earnings, and economic troubles have deepened as those sanctions and restrictions on Iranian oil have tightened further since the war.

A weaker currency raises the risk of costlier imports and higher prices for everyday consumer goods. Meanwhile, efforts are underway to advance indirect talks between Iran and the United States, with discussions reported ongoing on easing tensions in the Strait of Hormuz.