Understanding the Currency in Iran: Rial vs. Toman

The Iranian currency has been a topic of confusion and complexity for many travelers visiting Iran. This is due to the fact that there are two different terms used for Iranian currency – Rial and Toman.

Historically, Rial has been the official currency of Iran, with its origins dating back to the 1930s. However, due to high inflation rates, the value of Rial has decreased significantly over time, leading to the use of a new term known as Toman.

Toman is not an official currency, but rather a unit of measurement that is equal to 10 Rials. This means that prices in Iran are often quoted in Toman instead of Rials, making it easier for locals and tourists to deal with large numbers. For example, a product priced at 10,000 Toman is equal to 100,000 Rials.

To avoid confusion, it’s important to note that when prices are quoted in Toman, they will be written with a line over the two zeroes, for example, 10/000 or 10’000. Prices quoted in Rials will not have this line.

It’s worth noting that although Toman is not an official currency, it’s widely used and recognized throughout the country. In fact, many shops and businesses will only accept payments in Toman, rather than Rials.

In terms of exchange rates, the official exchange rate of the Iranian Rial is lower than the unofficial exchange rate. This means that you’ll receive more Rials or Tomans if you exchange money on the black market. However, we strongly advise against this as it’s illegal and can lead to serious consequences.

In conclusion, while the Iranian currency may seem confusing at first, it’s important to understand the difference between Rial and Toman to avoid any misunderstandings during your travels. To simplify things, always double-check if the price is in Toman or Rials and use official exchange offices to avoid any legal issues.

what is the “official” exchange rate in Iran?  

The official exchange rate is 42,000 rials to $1. It is a government subsidised rate that values the rial far, far above the open market rate. Currently, the official rate is only used to import essential goods, but that wasn’t always the case.

You can Check live exchange rates in Iran’s free market with this website: https://www.bonbast.com

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