Behind the Headlines/October 5

Jamshid Chalangi:

In tonight’s program of Behind the Headlines we will again look at the rapid fluctuations in Iran’s foreign exchange markets and ask if the Rouhani government is behind the hoarding of foreign currencies?

What is the real aim of the regime’s missile attacks on Syria and Iraq?

Our guests tonight to discuss these topics are Dr. Alireza Nourizadeh and Dr. Hasan Mansour.

Dr. Alireza Nourizadeh:

The root of the chaos in Iran’s economy and the “dollar versus rial crisis” is the lack of transparency and deception of the regime in every aspect of Iran’s affairs.

From the day that Khomeini came to power with the promise of offering free housing, utilities and transport to every single Iranian until today, this regime has been telling lies to the nation to sustain its corrupt power.

Now we hear that the regime has paid a ransom to thousands of the poor Basijis to come to the Azadi Stadium yesterday to shout slogans in support of Khamenei’s condemnation of the US for Iran’s miseries!

Their missiles have gone astray and hit residential areas in our own city of Kermanshah and yet the Revolutionary Guards claim that they have hit and destroyed the ISIS bases in Syria!!

Dr. Hasan Mansour:

The fact that the foreign exchange crisis and the free fall of Iranian rila arerooted in the economy of Iran cannot be disputed,

The consequence of this crisis is the rapid fall in the purchasing power of theIranian people as essential commodities are priced in Iran against the value of US dollar.

In reality, there does not exist any foreign exchange market in Iran at all asalmost 90% of foreign currencies, mainly US dollar, are in the pockets of the government and it can effectively control its value whenever it wants.

But why does the government do this? Because it lacks cash liquidity and every time people rush to buy US dollar the added value goes into the government’s pockets to pay for its debts and the vital imports into the country.

The problem is this cash will end up in the hands of the Revolutionary Guards and the security forces as they are the priority for the regime.