Iran's rial currency hits record low as shaky ceasefire with US and Israel holds

Iran’s national rial currency hit a record low Wednesday of 1.8 million to the dollar as a shaky ceasefire with the U.S. and Israel holds.

The rial had remained stable in the early weeks of the war that began Feb. 28, in part because there was little trading or imports.

The rial began to slide two days ago. Experts warn that its fall is likely to further fuel inflation in a country where many imported goods, from food and medicine to electronics and raw materials, are affected by the dollar rate.

A U.S. naval blockade during the ceasefire has increased pressure on Iran’s already battered economy, cutting into a key source of government revenue and hard currency by stopping or intercepting oil shipments.

Pakistani Prime Minister Shehbaz Sharif said Wednesday his government was continuing efforts to help ease tensions between the U.S and Iran following an initial round of direct talks on April 11.