The involvement of Iran’s Revolutionary Guard in the national currency market has dramatically intensified economic volatility, contributing to the rapid devaluation of the rial. By exerting control over key financial institutions and leveraging informal trading networks, the Guard has effectively distorted market signals. This intervention disrupts traditional supply and demand dynamics, driving inflation rates upwards and undermining investor confidence. Moreover, clandestine currency transactions orchestrated by their affiliates create an opaque environment, making it difficult for authorities to stabilize the market through conventional monetary policies.

Several factors illustrate the complex impact of the Guard’s activities: