Purchasing Power of USD in Iran: An Updated Guide

Iran's economy has been experiencing significant changes, particularly in the purchasing power of the US dollar (USD), due to various economic policies and geopolitical events. This article provides an updated guide on what you can buy with USD in Iran, focusing on Tehran and its neighboring cities.

Overview of USD to IRR Conversion

As of August 22nd, 2019, the value of one US dollar was approximately 13,000 Iranian toman (IRR) or 130,000 rials. This value often fluctuates, but it offers a general insight into the current economy. It's important to note that the official rate set by banks and government departments (about 42,000 Rials or 42,000 Toman) is not reflective of the market rate where people exchange currency.

Items You Can Buy with USD in Iran

In Tehran

Ice Cream: One ice cream costs around 5,000 Toman (0.5 USD) or 50,000 rials. If you have 10 USD, you can buy 20 ice creams. Sandwiches: One sandwich costs approximately 1 or 2 USD. With 1 USD, you can have two sandwiches. Coca-Cola or Pepsi: A 350ml can of Coca-Cola costs around 20 Toman (close to 0.002 USD) or 200 rials. A 330ml plastic bottle of Pepsi costs about 10 Toman (0.001 USD) or 100 rials. Luxury Restaurant Meals: A top-tier restaurant in Tehran's Milad Tower can provide a meal for 1 person, inclusive of Pepsi and a salad, for about 15-20 USD. Apartments: An average 100-square-meter apartment in downtown Tehran with three bedrooms would cost around 50,000 USD. However, in some northern areas, the price can range between 70,000 to 100,000 USD. The rental price would be around 300 USD per month, but this could fluctuate due to inflation. Taxis: A taxi ride from the top of Tehran to the southern suburbs would cost around 5,000 Toman (0.5 USD) or 50,000 rials. Cigarettes: A pack of cigarettes costs approximately 1,000 Toman (close to 0.1 USD) or 10,000 rials.

In Qazvin (Nearest City to Tehran)

Qazvin, a city located about 100 miles from Tehran, offers much cheaper prices. Here, the following items can be purchased:

Apartments: A 900-square-meter apartment can be bought for between 5,000 to 50,000 USD. Restaurants: A meal at a typical restaurant costs only 1 or 2 USD. Taxis: A taxi ride of 10 kilometers can be had for a mere 20 Toman (0.002 USD) or 2,000 rials. Leech Activities: If you are looking for nighttime entertainment, Qazvin does not have any nightclubs but renting or buying a car to seek out some entertainment can be feasible. For instance, renting a prostitute is very cheap, requiring around 10 USD or 10,000 Toman.

Language and Communication

English is not widely spoken in Iran. Only 10% of the population can communicate in English. However, it's still possible to find English-speaking individuals in major cities.

Conclusion

The purchasing power of USD in Iran varies significantly based on the location and the current economic conditions. While life can be quite expensive in Tehran for those with USD, cities like Qazvin offer a much lower cost of living. Understanding the current exchange rates and local prices is crucial for travelers and potential investors looking to navigate the Iranian market.