Removing Four Zeros from Iran’s Currency: Analyzing Central Bank Monetary Policies and Economic Challenges

Studies show that so far, more than 20 countries have attempted to remove zeros from their national currencies, and a review of these experiences shows different results from failure to success in these countries. Brazil with 6 times, Argentina with 4 times, and Turkey with 3 times of zero removal, hold the first to third places in the world.

A review of global experiences shows that countries that have attempted to remove zeros from their national currencies have succeeded in achieving economic achievements in a situation where they have previously implemented monetary and fiscal policy reforms appropriate to the conditions and have done so at a time when macroeconomic indicators have had a stable trend. The downward trend in inflation, exchange rates, and economic stability are common prerequisites among countries in which the removal of zeros from the national currency has resulted in the expected results of policymakers.