Iran's Central Bank has issued a 10 million rial banknote, the largest denomination in the country's history, according to a report by the Financial Times. The note is valued at approximately 7 US dollars. The Central Bank stated that the new banknote is necessary to "meet the population's need for cash," while separately noting that electronic payment systems and internet banking continue to operate stably.

The Financial Times reports that the new banknote was introduced at a time when demand for cash in Iran has surged excessively. Citizens, fearing potential failures in electronic payment systems, are queuing for hours at banks to withdraw money from their accounts. Banks have imposed restrictions on cash disbursements, although the Central Bank allegedly claims to be providing sufficient banknotes to credit institutions.

On the new 10 million rial banknote, the last four zeros are printed in a faint color, while the number "1000" is in bold font. This design, reportedly used on all new banknotes since 2019, is said to facilitate the transition process. Prior to this issuance, the largest banknote in Iran was 5 million rials, which the Central Bank introduced in early February.

According to Financial Times data, in February, before the war began, inflation in Iran stood at 47.5% annually. This high inflation rate may have contributed to the increased demand for cash, highlighting economic challenges that necessitate such measures, including the issuance of larger denominations to cope with devaluation and liquidity issues.

Source: www.gazeta.uz