Iran's First Vice President Mohammad Reza Aref unveiled plans on December 28 for a gradual unification of the country's multiple exchange rates as the Iranian rial sinks to historic lows. 

The announcement comes as the current administration seeks to close the gaps in the country’s several exchange rates to stabilise its currency markets and attract foreign investment.

Aref’s comments come as the Iranian rial reached a historic low of IRR816,500 to the dollar, while the British pound sterling broke the million rial mark for the first time in history on Ferdowsi Street in Tehran.

Speaking at a meeting with social scientists and academics in Tehran, Aref detailed the administration's strategy to gradually align the NIMA exchange rate, used for exports, with commercial and trading rates until reaching a single, stable rate.

The move aims to eliminate currency supply restrictions and prevent corruption that has emerged from rate differentials in recent years.

"The government's strategy is to achieve a single exchange rate with a gentle slope until we reach a fixed rate," Aref said, according to the Tasnim news agency.

He said that this approach would ensure "no limitations on currency provision and supply" while preventing the exploitation of gaps between NIMA and export rates that have plagued the system.

The currency unification plan is part of a broader economic reform agenda that includes ambitious targets for attracting $150bn in investment to achieve 8% growth, create sustainable employment, and reduce poverty rates.

Aref expressed particular interest in drawing investment from the Iranian diaspora, suggesting that patriotic sentiment combined with appropriate legislative guarantees could facilitate significant capital inflows.

"We are confident that with Iranians' patriotic sense and appropriate interaction, along with guaranteed laws in this area, we can easily witness the entry of capital from Iranians abroad," Aref stated during the meeting.

The vice president also addressed concerns about recent price increases, including currency fluctuations in recent months.

Aref described the current period as a "historic opportunity" to correct past policy mistakes and achieve sustainable economic development.