February 26, 2021
The Central Bank of Iran CBI) has introduced a 1million-rial bill (worth $4 at the free market rate), with the final four zeros faded so the bill can do double duty as a 100-toman bill while Iran shifts its currency over the next two years.
The 1-million-rial note is the largest ever issued in Iran. A note of that value was first issued in 2008, when the dollar was worth about 10,000 rials and the 1-million-rial note was worth $100.
Referred to as “Iran Cheques,” the 500,000-rial note and the 1-million-rial note are not legally classed as regular currency and are something like traveler’s cheques. But Iranians routinely treat them the same as regular cash.
The Majlis has approved the shift over two years from the rial to the toman, with one new toman to be worth 10,000 old rials.
This is the second note issued with the final four digits faded out.
The paper of the new note has new security features. It does not reflect ultraviolet light, but invisible fluorescent fibers imprinted on it can be seen under ultraviolet light in four colors, the CBI said. Parts of the design and serial number are printed using fluorescent ink. In ultraviolet light, they are seen in green and golden yellow.
The smallest banknote in Iran is the 100-rial bill, worth all of 4/100ths of 1 US cent. It is no longer printed, since it costs more than the value of the bill to print it. Notes for small sums are gradually being pulled out of circulation by the CBI, while the government and Central Bank continue to urge people to shop using the cashless option provided by debit cards.
