Under current law, travelers may buy foreign exchange at the official rate of 12,260 rials per dollar. If the law were changed, they would have to go to the open market, where dollars now cost around 19,000 rials or 55 percent more.
Deputy Arsalan Fathipur, chairman of the Majlis Economy Committee, told the Mehr news agency there is no economic justification for selling people traveling abroad subsidized dollars. He said about $10 billion a year is currently sold under this program for travelers.
Travelers going to the Americas, Europe and other distant points are allowed to buy $1,000 at the subsidized rate. Those going to closer countries—from Cyprus in the West to Indonesia in the East and Georgia to the North—are allowed to buy only $400 or the equivalent in other currencies.
The $10 billion figure cited by Fathipur was suspicious. If every Iranian traveling abroad was buying the maximum of $1,000, that would mean 10 million Iranians were traveling abroad annually. Those traveling to nearby countries and buying the lesser amount would raise the number higher than 10 million.
