Why is that though? I don't understand. Why is the rial valued so low?
Multiple sanctions that started with the Muslim Revolution of 1979. They had $110 billion in foreign reserves in 2011. More sanctions in 2013 blocked access to $60-80 billion which made the rial fell more than 40%. Bonyads hurts their economy (they are supposed to be taxfree charity organisations that provides social services to the poor, they got their hands in every kind of industry that are not oil-related and stands for 20% of the GDP, and since they only answer to the highest Iran leader... well, it exist no control system and they are filled with corruption). Around 1/3 of all imported goods are smuggled in on the black market. Of that around 3/4 are illegal to own, like drugs and alcohol. In 2014, 75% of the cellphones in the country were smuggled into the country.
Thanks for the info. I wonder how much PS4s cost over there.