Iran caps stablecoin purchases and holdings as rial hits record low

“We are hopeful for the future of the region. Awareness and vigilance in the region are on the rise,” said Larijani.

“The Israeli regime spares no country as seen in the recent incident in Qatar,” he said.

“Many countries are seeking to establish a joint mechanism for cooperation, and we support this path,” Iranian media quoted him as saying.

Larijani will meet senior Lebanese officials to discuss bilateral relations and regional and international issues of mutual concern, the Iranian embassy in Beirut said.

He is joined by Ebrahim Azizi, head of parliament’s National Security Committee, and Rouhollah Motefaker Azad, a deputy speaker, during his trip to Lebanon.

In his previous Beirut visit in August, Lebanese political figures publicly criticized Tehran’s influence and interference, warning that Iran’s pressure on Hezbollah’s armament threatened Lebanon’s sovereignty.

Though Hezbollah was once seen as Iran’s dominant proxy in Lebanon, it has endured heavy losses. Israeli strikes last year killed thousands of its fighters and senior leaders, with much of its military infrastructure destroyed.

Lebanese officials have said a sovereign, unified Lebanon requires the elimination of foreign influence, adding that Hezbollah’s control over armed power remains a major obstacle.

Founded in 1982 by Iran’s Islamic Revolutionary Guards Corps, Hezbollah has long been Israel’s principal military adversary in Lebanon. Fighting late last year left the group weakened.

The Lebanese cabinet last month ordered the army to disarm Hezbollah, prompting sharp criticism from Tehran.

Mai Sato, the UN Special Rapporteur on human rights in Iran, wrote that the situation is “deeply troubling” and “profoundly affected by the devastating military escalation and its aftermath” in the first half of 2025.

“While the military escalation between States ceased on 24 June, its end has not brought relief to the people of the Islamic Republic of Iran, who continue to face systematic repression,” according to the report.

The attacks, which targeted nuclear facilities, residential areas and Evin prison, killed more than 1,100 people and injured over 5,600, with between 40 and 60 per cent of deaths estimated to be civilian, the report said.

The strikes also killed 14 Iranian nuclear scientists and destroyed medical centers, worsening shortages and leaving vulnerable populations without care, according to the report.

The response of Iranian authorities was also criticized. Tehran’s actions included “scapegoating of ethnic and religious minorities, the mass deportations of vulnerable Afghan nationals and the introduction of draconian legislation that further criminalizes legitimate civil rights activities,” the report added.

On women’s rights, the report pointed to systemic impunity in cases of gender-based killings, noting that at least 108 femicides were documented.

“The legal framework of the Islamic Republic of Iran violates the right to life by providing protections for perpetrators of gender-based killings through discriminatory provisions.”

Executions also continued at what the report called an “alarming pace,” with more than 700 people put to death between January and July, including 98 Baloch, 42 Kurds and 45 Afghans.

Sato urged Iran to “establish a moratorium on the death penalty with a view to its complete abolition” and to end corporal punishments including amputation and flogging. She also recommended international support for exiled activists and Afghan refugees.

“We’re not afraid of war. We do not seek war,” he told NBC’s Tom Llamas. “President Trump has said that his administration has come to create peace, but the path that they have embarked upon will set fire to the entire region.”

Iran would never initiate a conflict but would give “the strongest answer” to any attack, Pezeshkian said.

Tehran continues to build its defense capabilities to deter adversaries, he added.

On nuclear issues, he rejected suggestions that Iran is developing weapons, pointing to the Supreme Leader’s fatwa against weapons of mass destruction.

He said inspectors from the International Atomic Energy Agency were welcome to visit sites in Iran, dismissing reliance on satellite images as insufficient.

Iran has resumed construction at an underground mountain site following US and Israeli strikes on its nuclear facilities, with satellite imagery and analysts indicating the work may reflect efforts to rebuild its damaged nuclear program.

The president also commented on domestic unrest, saying Iranians “have a right to choose” in response to questions about the enforcement of hijab laws. He acknowledged mishandling of Mahsa Amini’s case but accused outside observers of exaggerating Iran’s record while ignoring civilian deaths in Lebanon, Gaza, Yemen, and Syria.

Supreme Leader Ali Khamenei has ruled out direct talks with the US on missiles and uranium enrichment.

The president also referred to an injury he sustained during Israeli strikes in June’s 12-day war, saying doctors drained fluid from his knee and that the wound was minor.

Several Iranian economists say the downturn is already entrenched and that officials are underestimating the severity of the crisis.

Tehran University professor Albert Boghozian argued last week that Iran now shows the classic symptoms of stagflation—negative growth, high inflation, and rising unemployment.

“Officials must not ignore the danger of deepening stagflation, which is likely to intensify if the snapback proposed by the UK, France, and Germany is implemented,” he cautioned.

The Statistical Center of Iran reported that GDP shrank by 0.1% in the spring.

Excluding the petroleum sector, the contraction deepened to -0.4%. Agriculture was the hardest hit, with output falling 2.7%. This downturn marks the first time since 2021 that Iran’s economy has posted negative quarterly growth.

'Worse to come’

The reversal is striking given the 3.0% expansion recorded in the last full calendar year ending March 2025. That period, supported by high oil revenues and relative stability, allowed for modest but steady growth.

Ali Ghanbari, a macroeconomist and former deputy agriculture minister, predicted conditions will deteriorate further in the coming months.

“Iran is heading toward a more difficult economic period in the second half of the Iranian year (September 2025 to March 2026),” he told reporters in Tehran.

He forecast a contraction of 1–2% by March 2026 and inflation climbing above 54%.

“The downturn had been anticipated due to sanctions and political tensions,” he added, “but the scale of inflation will place even greater strain on household budgets.”

Such levels of inflation would erode real incomes and fuel social discontent — a sensitive issue for the government as it braces for renewed sanctions.

‘Sanctions hinder development’

The Majles Research Center has argued that renewed UN sanctions would be less damaging than existing US restrictions, which already limit Iran’s access to global markets and financial channels.

But economists such as Boghozian believe Tehran has few tools left to cushion the blow.

“The Iranian government cannot do much about the UN sanctions,”he warned. “Continued stubbornness will only deepen the suffering.”

Sweeping UN sanctions are set to be reimposed on September 27 following the end of the 30-day snapback period.

Boghozian warned that their return could have consequences far beyond economic hardship, setting the scene for more confrontation with Iran’s foes.

“With the threat of war, Iran cannot realistically pursue development,” he said. “War and sanctions will rob the country of opportunities. If we fail to take initiative, the other side will dictate the terms.”

Mostafa Sepahvand, 39, Farhad Javadi Manesh, 44, and Shapoor Qalehali Khani Noori, 55, appeared via video link from a high-security prison in south London.

The three Iranian nationals have been charged with engaging in conduct likely to assist a foreign intelligence service between 14 August 2024 and 16 February 2025.

Sepahvand has also been charged with engaging in conduct, namely surveillance, reconnaissance and open-source research, between 14 August 2024 and 16 February 2025, intending to commit acts, namely serious violence against a person in the United Kingdom.

Manesh and Noori have also been charged with engaging in conduct, namely surveillance and reconnaissance, with the intention that acts, namely serious violence against a person in the United Kingdom, would be committed by others.

The charges include collecting information and planning to commit acts of violence on British soil.

Their targets are allegedly staff members of Iran International.

At today’s hearing, Farhad Manesh’s application for bail was refused by the Judge, the Honourable Mrs Cheema-Grubb.

All three accused will be held in remand until the trial itself begins on October 5, 2026, at London’s Woolwich Crown Court.

The three are the first Iranian nationals to be prosecuted under the UK’s 2023 National Security Act, a law designed to counter threats from hostile states.

Iran International, founded in 2017, has reported escalating threats, particularly after the 2022 “Woman, Life, Freedom” protests. Its staff have reported death threats, harassment of relatives abroad, and attacks

Rights groups and the broadcaster accuse Iranian authorities of waging a sustained campaign against Iran International since its launch, including hacking attempts attributed to actors linked to the Islamic Revolutionary Guard Corps.