Wednesday, October 3, 2012

Iranian Police Clash with Protesters over Currency Plunge

Some of the fall in the value of the Iranian rial can be attributed to sanctions against Iran limiting the supply of goods into the country, but there also appears to be a demand side element to soaring prices. In other words, somebody is printing a lot of rial, either the Iranian central bank or the CIA. Maybe both.

The flood of new money is causing the value of the rial to plunge and civil unrest is developing.

Reuters reports:
Iranian riot police clashed on Wednesday with demonstrators and foreign exchange dealers in the capital Tehran over the collapse of the country's currency, which has lost a third of its value against the dollar in a week, witnesses said.

Police fired tear gas to disperse the demonstrators, angered by the plunge in the value of the Iranian rial. Protesters shouted slogans against President Mahmoud Ahmadinejad, saying his economic policies had fuelled the economic crisis...

It is not out of the realm of possibility that most the increase in the money supply is the result of foreign elements injecting rial for  the purpose of creating instability in the country.

Did somebody at the CIA read What You Should Know about Inflation by Henry Hazlitt?


  1. The Iranian central bank is printing money, but not at this rate and they certainly wouldn't do it in such a sudden manner to cause a drop of more than 50% in a manner of days. This is economic sabotage from the CIA and/or Mossad. The way for the Iranians to defeat this sabotage is to use of currency black markets and use of gold and silver. This is why this crackdown from the Iranian viewpoint is so stupid. They are attacking the very means to deal with the sabotage.

  2. It looks like the modern day Fascists have dusted off "Operation Bernhard":

    Operation Bernhard was the codename of a secret Nazi plan devised during the Second World War by the RSHA and the SS to destabilise the British economy by flooding the country with forged Bank of England £5, £10, £20, and £50 notes. It is the largest counterfeiting operation in history and has been fictionalised in books, the BBC comedy-drama miniseries Private Schulz and a 2007 Oscar-winning Austrian film, The Counterfeiters (Die Fälscher).

  3. So can we equate the Fed with the nefarious CIA to instigating economic destabilization in the USA? And as an act of war, also, no doubt?